Reducing Emissions from Private Cars:

Incentive measures
for behavioural change*

A.T.M. Nurul Amin

October 2009

*Prepared for Economics and Trade Branch, Division of Technology, Industry and
Economics, United Nations Environment Programme, September 2009
ii
 Acknowledgements

Other than the two reviewers who patiently read the first draft and provided
constructive comments for improvement of the report, I would like to thank Mr.
Hussein Abaza and Mr. Fulai Sheng for giving me the opportunity to do this work. I
must also thank my AIT research students for their assistance. Particular mention
needs to be made of Dr. Ariva S. Permana, Md. Jahangir Alam, Reaz Mallick,
Emenda Serbirine, Rezaur Rahman, Sabiha Zafrin, Niaz Rahman, Faisal Mamicpic
Alih, Suryaputrianita Satyanuepaha and Niken Prilandita. The patient computer
assistance of Md. Mostafezur Rahman has been invaluable for shaping the report in
its present form. I would also express my gratitude to Rob de Jong, Elisa
Demestrescu and Kamal Ernest of the UNEP transport unit and to Fulai Sheng and
Fatma Ben Fadhl of the green economy UNEP staff for their substantial reviewing
and rewriting work. Ron Katz, the editor, helped to clarify the wording of the final text.

iii
 Contents
Page
Acknowledgements ii
List of Tables vii
Charts and Illustrations vii
viii
Executive Summary
Abbreviations xx

1. Introduction 1

2. Increase in Private Car Use: Domestic and Global 3

Environmental and Economic Challenges

2.1 Private car’s predominance in road transport 3

2.2 Urban air pollution: impact on health and 7
productivity
2.3 Global CO2 emissions by region 12
2.4 Transport as a key source of CO2 emissions 13
2.5 Mechanism of CO2 emissions 15

3. Increase in Private Vehicle Use as Policy Failure 18

3.1 Neglect of urban planning 18

3.2 Failure to adopt comprehensive and 23
environmentally sustainable transportation
strategies
3.3 Influencing behaviour: partial and piecemeal use 29
of incentive measures

3.4 Inadequate understanding of human attitudes 33

and behaviour
3.5 Non-utilization of full potential of change and 34
innovation in fuel and vehicle technologies
3.6 The role of and need for investment in a green 36
transport infrastructure

3.7 Inability to attract necessary investment: need 36

for cost recovery
3.8 Involving stakeholders for better enforcement of 37
public policy

4. Lessons from Global Experiences in Reducing Emissions 38

from Private Cars

4.1 Reducing total transport demand 38

Urban planning 38
Transport planning 39
Car use reduction 40

iv
 Public transit 43
Free/low emissions 45
travel modes

4.2 Reducing emissions 47

Cleaner fuel 47
Greener vehicles 49
Vehicle emissions 52
control

5. Suggested Ingredients in Policy Designing for Motivating 56

Changes

6. Conclusions 58

Appendix: Case Summaries and Lessons Learned 65

A1 Urban planning and densification for reducing 63

car use, Vancouver, Canada, 2007
A2 Congestion charges to reduce car use in central 64
London
A3 Traffic congestion pricing, Seoul, South Korea, 65
November 1996
A4 Marikina bikeways network: an encouraging 66
local government programme in a Philippine city
A5 Hydrogen fuel: outcome of an automaker’s 67
investment for sustainable mobility
A6 China’s fuel-cell vehicle initiative 68
A7 VQS as a quantity measure to restrict vehicle 69
ownership
A8 Singapore’s Area Licensing System 70
A9 Curitiba, Brazil: a model in urban planning, with 71
particular reference to its transportation system
A10 Curitiba’s busways: a model of Bus Rapid 72
Transit (BRT)
A11 Alternative fuel vehicles: the Shanghai case 73
A12 Beijing’s plan involving “substituting” for private 74
travel: a two-pronged strategy
A13 Bangalore bus service: an encouraging 75
programme in a developing country city
A14 New Delhi’s CNG Programme: a significant 76
move to clean fuel
A15 Cutting CO2 emissions from automobiles: the 77
EU switches from largely voluntary
commitments to a comprehensive set of
measures

v
A16 France introduces rebates and penalties to 79
encourage new car purchases based on low
and high CO2 emissions
A17 Fuel economy improvements: the U.S. CAFE 80
standards
A18 Fuel economy improvement measures in Japan 81
A19 China’s regulatory system to achieve fuel 82
economy improvements
A20 Private and public sectors join hands to provide 83
incentives for Seoul’s Car-Free Days
Programme
A21 Fukuoka’s multi-stakeholder initiative in car 84
sharing to reduce CO2 emissions
A22 Walking street programme in Bangkok, Thailand 86
A23 Restoring Cheonggyecheon stream in Seoul 87

A24 Travel Feedback Programme (TFP) in Sapporo 88

A25 Wind-powered commuter system in Calgary, 89
Canada
A26 Electric trolleybus system in Quito, Ecuador 90
A27 Shift from leaded to unleaded gasoline in 91
Thailand
A28 Bio-fuels in Thailand: momentum in E85 92
adoption
A29 Transport air quality management project: 93
Mexico’s increase in gasoline prices to make
CNG the least expensive fuel
A30 Leaded to unleaded gas: using three sets of 94
simultaneous incentive measures in Vietnam
A31 Vehicle emissions control technology – 95
European Union (EU) member countries
A32 Vehicle emissions control: green purchasing – 96
Japan
A33 Private sector vehicle inspection and 97
maintenance – Mexico City
A34 Traffic signal control for reducing vehicle CO2 98
emissions – Kawasaki City, Japan
A35 Tehran transportation emission reduction 99
project, Tehran, Iran
A36 Vehicle emissions control – Beijing, China 100
A37 Vehicle emission controls – Shanghai, China 102
A38 Bus Pass Programme in Ann Arbor, Michigan, 103
USA
A39 Van transit system in the Bangkok Metropolitan 104
Region, Thailand
A40 Public transportation system in Beijing, China 105
A41 Rail-based mass rapid transport system in 106
Shanghai, China
A42 Bus rapid transit system in Jakarta, Indonesia 107
A43 Bus rapid transit system in Bogotá, Colombia 108

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 A44 Tata’s Nano Car in India 109
A45 Hybrid technology cars to reduce emissions: 110
some examples
A46 Hybrid only parking in Suffolk, New York, USA 112
A47 Shift from two- to four-stroke motorcycles in 113
Thailand
A48 Alternative fuel vehicles in Beijing, China 114
A49 Introduction of electric three-wheelers in 115
Kathmandu Valley, Nepal
A50 Environmentally sound transportation planning 116
in Singapore, 1970 to date
A51 Integrated road transport system development, 117
Beijing, China
A52 Pedestrian malls 118
A53 Dar es Salam’s transition from small buses to 119
BRT System
A54 Cycling out of poverty: An Africa-wide initiative 120

Bibliography 121

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 List of Tables
Page

2.1 Car ownership aspiration index in selected countries 4

2.2 Relationship between transport infrastructure investment and 5
car use
2.3 Trends in motorization 6
2.4 Automobile sector growth in different countries 7
2.5 Air pollution scenario in different Asian cities 8
2.6 Health effects associated with common vehicular pollutants 9
2.7 Relative problems of health-affecting pollutants in world 10
mega-cities
2.8 Air pollution related economic damage 11
2.9 Motor vehicle, passenger car and PM10 concentration in 11
different regions
2.10 Annual CO2 emissions for different regions 12
2.11 CO2 emissions by level of income 13
2.12 Global CO2 emissions by sector 14
2.13 Trend in fossil-fuel CO2 emissions in top 20 emitting countries 16
2.14 Transport sector’s share (%) of CO2 emissions from fuel 17
combustion, 2003
3.1 Strategies for influencing urban mobility and reducing 25
dependence on private cars
3.2 Use of environmental management measures (EMM) to 31
influence travel behaviour in reviewed cases

Charts and Illustrations

Page

3.1 Origin-destination patterns: Star-type (polycentric) with O-D 22

Separation
3.2 Origin-destination patterns: Concentric Pattern with O-D 22
Separation
3.3 Origin-destination patterns: Polycentric Multi-linkage with 22
Partial O-D Separation
3.4 Origin-destination patterns: Full O-D Separation Concentric 22
Pattern
3.5 Three Elements as the Basis of Environmental Management 29
Instruments

viii
Executive Summary
To avoid duplication of effort, this report is focused on explaining the inadequate
utilization of accumulated knowledge and on reporting insights received from
experiences in reducing car use and emissions reduction – both of which are directed
to reduce health-affecting (lead, fine particulate matter, SOX, NO2, ozone) and
greenhouse gas-emitting emissions such as CO2. It is primarily intended for decision
makers in national governments, automobile manufacturers, fuel industry executives
and city officials. Its contents are based on a review of the accessed literature,
compiled information and analysis of the cases prepared on selected practices
concerning car use reduction and emission controls having a global and regional
scope.

Clearly, serious concerns about human health, productivity loss and climate change
have arisen from the use of unsustainable transport modes, The analysis of the
ongoing efforts suggests it is not that "little is happening" on emissions reduction: it is
rather that these efforts are often piecemeal, partial, one-shot attempts or mere show
pieces. Successful outcomes often do not have lasting effects, because they have
not led to changes in attitudes or in the behavioural norms of citizens, governments
and businesses. In some instances, changes have not been lasting or permanent
because the outcomes were not institutionalized or sufficiently funded for up-scaling.
Good practices in developing countries are often created by Official Development
Assistance (ODA) support, but their up-scaling and institutionalization require
financing by governments, the private sector or foreign direct investment. Often this
is not available because of investors’ concerns about cost recovery, which, in turn,
are a casualty of the combined influence of citizens' unwillingness to pay (e.g., for
transit service) and politicians’ unwillingness to charge for fear of losing votes.
Breaking this vicious cycle requires the proactive role of local political leaders to
educate citizens about the benefits from investing in physical infrastructure such as
walkways and public transit.

This report is intended to motivate concerted efforts by governments, industries and

citizens to reduce emissions from the private car sector. It is based on an analysis of
numerous initiatives and actions that seek to reduce car use and emissions
reduction. One conclusion of the report is the need to use comprehensive incentive
measures to encourage behavioural change. Indeed, in the absence of the
simultaneous use of regulatory, economic and persuasive measures, any outcome is
likely to be insufficient.

The content of the report has been largely defined by a ”what-why-how” approach to
problem solving in that it: first, defines the problem (i.e., what is the nature &
magnitude of the problem of automobile emissions); then explores and explains the
reasons or causes (i.e., why the emissions tend to persist or even to increase); and
finally suggests solutions (i.e., h o w to design public policy, planning and
management tools to reduce emissions).

There are several reasons for non-optimal outcomes of ongoing policies,

programmes and actions. Among these is the tendency not to sustain them for long

ix
enough periods, often due to the cessation of ongoing financial support. Another is
the failure to consider a city or country’s political economy or stage of development
before launching a programme.

In the cities of developing countries, the lack of alternative modes of transportation is

a major cause of growing reliance on automobiles by middle class urban residents.
Absence of some simple and basic amenities, such as walkways, safe bikeways or
convenient access to public or mass transit (such as BRT or subways) renders urban
residents helpless in meeting their commuting needs.

This report’s contents suggest that to alter the less than optimal outcomes associated
with ongoing efforts, public policy and action programmes need to be founded on a
sound understanding that (i) behavioural change is central to sustainable transport
mode choice by citizens; (ii) financial support is essential to accomplish goals (i.e.,
from creating pedestrian and bicycle ways to building mass transit systems); and (iii)
incentive measures can be used to influence positive changes in individual
behaviour.

The health and productivity consequences of emissions from the use of automobiles
have long been known. As a result, some citizens have been making individual
efforts to reduce dependence on their automobiles. Some have even voluntarily
discontinued using them. Since the 1970s, public policy on this issue has also started
to emerge. This was spurred by the formation of the Organization of the Petroleum
Exporting Countries (OPEC). Other factors have been the contribution of CO2
emissions to global warming, which has created a new momentum for promoting
environmentally sustainable transport (EST). This is evident in the EST initiative by
the Organisation for Economic Development and Cooperation (OECD) and the
follow-up actions by similar international agencies, national governments and city
authorities. In Asia since 2003, the United Nations Centre for Regional Development
(UNCRD), in collaboration with the Government of Japan, has launched EST
programmes in earnest for the countries in this region.

In the OECD strategy, adopted policy instruments include: regulatory (e.g.,

concerning emissions of CO2 and local pollutants); fiscal (e.g., fuel taxes and road
pricing, other disincentives and also incentives); and hybrid regulatory/fiscal
instruments (e.g., tradable entitlements to emit CO2 from vehicles). These
instruments are used for (a) technological breakthroughs, (b) mobility management,
and (c) awareness raising and education, since information and education are seen
to be key to raising public awareness. Regulations are widely used for setting
emission standards and limiting values. Use of economic instruments includes fuel
and road pricing and providing fiscal incentives. Land use planning is used to reduce
commuting distance, promote access to public transit and avoid suburbanization.

Lessons learned from OECD countries’ experience in EST implementation include

some of the following: (a) to ensure acceptability of goals, targets and strategies,
phasing in the implementation over a period of time is effective; and (b) to be
effective, careful monitoring of the effects of instruments and their appropriate
adjustment are required; (c) “business-as-usual” in transport policy is no longer a

x
viable option; and (d) EST can be defined, is attainable, induces structural changes,
provides new opportunities and can be achieved in several ways.

In preparing this report, the most time-consuming work involved compiling specific
transport policies, programmes or projects having a bearing on reduction of
emissions from automobiles and undertaken by cities in different regions. Initially, the
search generated information on 79 cases that focused on reducing emissions. Of
these 79, ten cases concerned cleaner fuel; six, greener cars; ten, emission control
technologies; nine, road/congestion pricing; 17, public/mass transit; six, bicycles;
three, car-free days; four, car-sharing; one, walking; one, car ownership restrictions;
four, travel awareness initiatives; one, reducing parking spaces; two, urban
planning/land-use; one, transportation planning; two, area licensing systems; and
one on restoring waterways. Three are miscellaneous.

The cities of these cases are: Dhaka, Beijing, Hong Kong, Shanghai, Bangalore, New
Delhi, Jakarta, Teheran, Fukuoka, Sapporo, Seoul, Kuala Lumpur, Kathmandu,
Singapore, Bangkok, Adelaide, Strasbourg, Dortmund, London, Calgary, Ann Arbor,
Los Angeles, Buenos Aires, Curitiba, Bogota, Quito, Mexico City and Dar es Salam.
A few country-wide cases are from Taiwan, Vietnam, China, Germany, Austria, and
the Netherlands.

Because of inadequate information, 25 cases were omitted. To draw lessons from

the data, 54 cases were finally prepared and analysed (Appendix A) in order to
examine (i) the issue addressed; (ii) how the problem was formulated; (iii) the
components of policy and/or incentive measures used; (iv) how these measures were
implemented; and (v) the challenges faced and the ways they were (or were not)
overcome. A mere glance at the list that follows should shed some light on the variety
of initiatives and actions in place worldwide to reduce vehicular emissions, either
directly by vehicle and fuel technology and/or indirectly by car use reduction.

Given the number and length of the prepared cases (Appendix A), an overview of
their contents has been prepared by categorizing the cases according to the type of
strategies adopted (Chapter 4). A selection is listed below:

Total Transport Demand Reducing Strategies

Urban planning cases

 Vancouver’s urban planning and densification strategy for reducing car use
 Curitiba’s urban planning practice that integrates transport planning

Transport planning cases

 Singapore’s integration of transport and land use planning

 Beijing’s integrated road transport system development

Car use reduction cases

 Singapore’s adding of quantity measures to initial reliance on incentive

measures alone

xi
  Beijing’s substitution of private travel by financing investment for public transit
to create disincentives for car use
 London’s congestion charges
 Korea’s congestion pricing
 France’s bonus rebates for buyers of new vehicles with low CO2 emissions
 Singapore’s area licensing system
 Sapporo’s travel feedback programme
 Seoul’s car-free days
 Fukuoka’s multi-stakeholder initiative in car sharing for reducing CO2
emissions
 European countries’ popularization of pedestrian malls for restoring city’s
early image without cars

Public transit cases

 Bangalore’s overcoming of perennial losses in running its bus service by a

combination of fleet modernization, augmentation of service, revenue
mobilization, fare policy and cost minimization measures
 Ann Arbor’s bus pass programme to reduce car use
 Bangkok’s van transit service to promote ride sharing for reducing traffic
congestion
 Beijing’s institutional, technological and financing innovations to overcome the
barriers to create its MRTS
 Jakarta’s bold start with BRT in reducing car use
 Bogota’s BRT operation funded entirely by fare collection
 Dar es Salam’s transition to a BRT system

Emissions-free travel mode cases

 Marikina city’s bikeway programme

 Bangkok’s walking street programmes
 Africa-wide initiative for “cycling out of poverty”

Emissions Reduction

Cleaner fuel cases

 Mexico’s adoption of common sense economic strategy by increasing

gasoline price and making CNG the least expensive fuel
 Vietnam’s success in switching from leaded to unleaded gasoline
 Quito’s electric trolleybus system based on financing and cost recovery
 China’s tradition of learning from others as reflected in adoption of Shanghai’s
alternative fuel vehicles
 Delhi’s CNG programme following a Supreme Court mandate
 Thailand’s switch from leaded to unleaded gasoline
 Calgary’s making its wind-powered commuter train a reality by incorporating
private companies
 China’s incorporation of fuel-cell initiative in its high-technology development
programme

Greener vehicle cases

 Hybrid cars
a Kenworth hybrid truck
b Honda

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 c Toyota
d Japan’s hybrid technology cars

 Tata’s Nano Car: concern on trade-off between “peoples’ car” image vis-à-vis
energy efficiency
 Suffolk’s “hybrid only” parking for promoting green vehicles
 Beijing’s programme to transform vehicles for alternative fuel use
 Thailand’s change from two-stroke to four-stroke motorbikes
 Kathmandu’s electric three-wheelers to replace diesel vehicles.

Emission control and fuel economy improvement cases

 EU’s switch from largely voluntary commitments to a comprehensive set of

measures for CO2 emissions from cars
 China’s regulatory system for fuel economy improvements including
incentives to lighter vehicle manufacturers
 Mexico City’s air quality improvement programme using vehicle inspection
and maintenance
 Japan’s use of green purchasing law for vehicle emission controls
 Beijing’s combining of standards, regulations, technology and fiscal incentive
measures for vehicle emission controls
 Shanghai’s use of vehicle emission control programme involving
implementation of EU-1 standards
 U.S. fuel economy improvement system’s novelty
 Japan’s following America’s lead in allowing manufacturers to accumulate
credits from fuel economy improvements

All 54 cases presented in this report have direct and indirect effects on emissions
reduction. They are grouped into two broad categories according to the thematic
nature of the strategies used: (a) strategies for reduction of total transport demand
and (b) strategies for reduction of emissions.

The strategies being used to reduce total transport demand fall into five major
groups:
_ urban planning;
_ transport planning;
_ car use reduction;
_ public transit; and
_ free/low emissions travel modes.

Strategies for reduction of emissions directly by technological means include:

_ vehicle emissions controls and
_ cleaner fuel and greener vehicles.

The prepared cases were then analysed to determine the dominant policy
instruments, tools and measures widely used, as well as the partial use or absence
of these measures. The analysis is grouped into three major categories: (i)
regulatory/command and control (CAC), (ii) economic/financial and/or (iii)
persuasive/information measures.

xiii
Cases with predominance of regulatory measures

 Singapore’s restriction on car purchase (Case A7): quantity measures, i.e.,

regulatory instruments (RIs) are added to initial reliance on taxation
measures, i.e., economic instruments (EIs);

 China’s fuel economy improvement (Case A19): mandatory (RI) with

economic incentives (EIs) for lighter vehicle manufacturers;

 Japan’s vehicle emission controls (Case A32): greener vehicle purchase

requirements as per Green Purchasing Law (RI);

 European Union’s vehicle emissions control technology (Case A15): switch

from largely voluntary commitments to a comprehensive set of measures to
reduce CO2 emissions from cars using a dominance of RIs;

 Beijing’s vehicle emissions control programme (Case A36): combines RIs,

technology and fiscal incentives (EIs), but standard regulations used
prominently;

 Shanghai’s vehicle emissions control programme (Case A37): involves

implementation of emissions limits equivalent to EU-II standards;

 “Hybrid only parking” in Suffolk, New York (Case A45): hybrid vehicle parking
only (RI) – an indirect incentive to the manufacturers via green purchase
incentives to the buyers; and

 Kawasaki’s (Japan) traffic signal control for reducing vehicle CO2 emissions
(Case A33): traffic signal control (RI) is basically the only tool used for the
stated purpose.

Cases with predominance of economic/financial measures

 London’s congestion charge (Case A32): Although road pricing to address

congestion was pioneered by Singapore, London’s Mayor Ken Livingstone’s
determined implementation of congestion charges has not only been
accepted by London residents, but has drawn global attention as an option to
reduce car use in the central city;

 Congestion pricing in South Korea (Case A3): Although Seoul experienced

some positive results with the use of a set of EIs to reduce car use, South
Korea is experiencing some difficulty extending this policy country-wide
because of the public perception that the congestion charge is “double
taxation”. This vindicates the need for the other two sets of policy instruments
– regulatory and persuasive/information instruments;

 Singapore’s area licensing system (Case A8): ALS is essentially a “cordon

pricing” system designating the central business district as a restricted zone
for the purpose of using road pricing to reduce congestion;

 France’s bonus rebate to purchasers of cars with low CO2 emissions (Case
A16): Consumer-directed incentive measures for buyers of new vehicles

xiv
 having low CO2 emissions and penalties for buyers of high emission vehicles.
This is a use of EI that indirectly works as an incentive for green vehicle
technology innovations;

 Mexico City’s policy of making the compressed natural gas (CNG) price the
least expensive fuel for vehicles (Case A29): World Bank funding allowed
Mexico to undertake retrofitting of vehicles to run on CNG. This, combined
with a policy of high gasoline prices and low CNG prices, is working well. A
similar policy is working effectively in Dhaka, Bangladesh; and

 Seoul car-free days (Case A21): Unlike other cases of car-free days relying
primarily on persuasive or regulatory measures, Seoul has introduced a
strong dose of economic/financial incentives to reduce car use. Both private
and public sectors have joined hands in providing these incentives.

Cases with predominance of persuasive measures

 Fokuoka’s car sharing (Case A21): For reducing CO2 emissions, Fukuoka has
launched a multi-stakeholder initiative in which a Car Sharing Network (CSN)
and an Integrated Circuit (IC) card system are used. Although the working
mechanism was based on persuasive measures (PIs), market creation and
deriving economic benefits have become this initiative’s obvious “co-benefits”;

 Sapporo’s travel feedback programme (TFP): This programme in Sapporo

demonstrates the power of persuasive measures. After trying several travel
demand management measures without success to substantially reduce
traffic, TFP was launched in Sapporo. It involved regular meetings with local
communities based on their personal/family tracking of vehicle use and
feedback in classroom lectures concerning the levels of CO2 emissions as
recorded in diaries. The TFP model resulted in significant behavioural change
with possible long-term effects, given the availability of alternative models of
transport (Case 4); and

 Bangkok’s walking street programmes: To combat the city’s image of traffic

congestion and its lack of safe walkways, the promotion of a pedestrian-
friendly environment for Bangkok started in Silom Road. Starting the
programme in a heavily congested street, such as Silom, has been
commended, and the programme was extended to several other cities in
Thailand. The principal implementation instrument has been “community
education” (PIs). Unfortunately, this measure was not effective enough to
sustain the programme, and it has been discontinued. This case (22) reveals
that a well-designed traffic policy is essential before restricting any street to
pedestrians only.

The cases were analysed to determine whether any particular set or all three sets of
policy measures (regulatory, economic or persuasive) were used to influence
behaviour during the implementation of emissions reduction policies. The underlying
hypothesis was that in the absence of using all three sets of measures

xv
simultaneously as a policy package, the outcome would be non-optimal at best. The
findings of the report were that, in many instances, the start of the programme
involved either command and control instruments/regulatory instruments (CAC/RIs)
or market-based incentives/economic instruments (MBIs/Els). In some other
instances, only suasive/persuasive/Information Instruments (SIs/Pls/Ils) were used.
In still others, CAC/RIs was added to the initial use of MBIs/RIs alone – as it was in
the European Union’s (EU’s) goal of reducing CO2 emissions to fulfil the requirement
to have greenhouse gas emission reduction targets as per the Kyoto protocol (Case
A15). Similarly, in the case of Singapore’s car purchase reduction policy, the
programme began by using economic instruments (EIs). Later, quantitative measures
(VQS) were added after experiencing limited success with EIs alone (Case A7). Only
in a few instances were all three sets used (e.g., in switching from leaded to
unleaded gas in Thailand (Case A27) and Vietnam (Case A30).

It should be noted that typical incentive measures – regulatory, economic or

persuasive – are not the only means of influencing human behaviour. Cases in urban
planning, transport planning or investment in physical infrastructure are good
examples of how these measures can also be used effectively to reduce car use.
Vancouver’s planning and densification strategy (Case A1); Curitiba’s integration of
urban planning and transport planning (Case A9); and pedestrian malls in several
European countries (Case A52) all demonstrate how classical methods of urban
planning are being used to reduce dependence on private cars. Beijing’s investment
in public transit (Case A12); Bogota’s funding of a BRT operation (Case A43);
Jakarta’s bold start of bus rapid transit (BRT) (Case A42); and a Global Environment
Facility (GEF) grant for a bikeway programme in a Philippine city (Case A4) are some
examples of how investment in public/mass transit, walkway/bikeways can change
citizens’ travel habits.

Lessons learned

In varying degrees, all three sets of measures – regulatory, economic and persuasive
– having the potential to influence travel behaviour are in use, but they are rarely
used simultaneously or in a concerted manner. As a result, policy measures fail to
comprehensively address all three elements of human motivations: fear, economic
interest and a moral/ethical sense (Figure 3.5). Consequently, the scope for
influencing behavioural change has not been fully realized. The effectiveness of
coordinated measures has been vindicated by cases in which there has been a
successful switch from leaded to unleaded gasoline, namely in Thailand and Vietnam
(Cases A27 and A30), where all three measures are used systematically and
comprehensively.

A new generation of tools to change travel behaviour are also in use to reduce CO2
emissions. These are the basic but effective measures of education, awareness and
training that are keys to making considerable progress in emissions reduction. While
these measures are widely used, the role of the physical infrastructure in influencing
travel behaviour is less well-known. Local inhabitants frequently turn to car
purchases and their use to offset the disadvantages of travelling by bus. Yet case
studies of bus service in Curitiba and Jakarta demonstrate how investments in bus

xvi
service can positively influence travel behaviour (Cases A9 and A43). Similarly, the
cases involving walking and bicycle way use (Case A4) show that investment, even
in low-cost physical infrastructure, can facilitate citizens’ switch to highly desirable
transport modes.

Arguably, the role of urban planning in influencing travel behaviour is the least
understood and discussed of all the measures proposed. Unfortunately, urban
planning does not assume a central role in public policy (in contrast to the role of
economics). This has been the case since the 1980s when free market/price, signal-
based individual, household and industry decision making became the dominant
factors influencing human behaviour. Since then, the “planning” paradigm has been
largely neglected as an economic, physical or spatial solution for controlling car use
emissions.

As a result, development controls, land use planning and zoning have lost political,
hence, policy support, the consequences of which are suburbanization, urban blight
and the growth of Extended Metropolitan Regions (EMRs) around major cities. These
developments contravene the principles of urbanization, urban growth and the city as
agglomerations of livable, high-density economic activities and compact living. This,
coupled with an absence of mass transit, has made the automobile an essential
means of transport in developing country cities in contrast with its earlier use as a
luxury or a status symbol. Five cases presented in this report: (i) urban planning and
densification for reducing car use, Vancouver, Canada, 2007; (ii) Curitiba, Brazil: a
model in urban planning, with particular reference to the city’s transportation system;
(iii) restoring Cheonggyecheon stream in Seoul; (iv) the Marikina bikeways network
(an encouraging local government programme in a Philippine city); and (v) a
pedestrian mall in Singapore, are all positive examples, because each makes
substantial use of urban planning paradigms to reduce automobile use, and hence,
CO2 emissions.

The review of the cases clearly suggests that in recent years cross-country and
cross-city learning has been taking place in EST promotion worldwide. There have
been significant gains in terms of knowledge sharing on environmental management
in different cities. For example, in the case of the Bangkok pedestrian street, the
showcasing of a possible car-free street created a momentum for similar streets in
other cities – in spite of the closure of the model street itself. Embodying models and
measures is critical for overcoming the psycho-social and cultural inertia dictating the
seeming “implausibility” of addressing the environmental dilemma in many cities. It is
always safe to learn from already tried models. Most explicitly, this is seen in cases
from China.

From a conceptual perspective, the most crucial lesson from the cases analysed is
that they reveal the importance of combining environmental management measures.
From an enforcement perspective, the key lesson is the importance of bringing
together different critical actors (local and national government, private sector,
community groups and the media) to work synergistically for a successful outcome.
In all cases, while the role of the government has been key to initiating work and
building or providing infrastructure, the necessary variable in making programmes

xvii
feasible has been the space created for a public dialogue or cultural consensus. This
seems to have facilitated interaction among relevant public agencies, private sector
groups, NGOs and donors to establish a network necessary for implementation of a
policy or programme.

Key Lessons Learned to Influence Changes in Policy Direction

The research for this study in general and investigation of numerous global initiatives
and practices in particular offer some helpful directions for improving public policy
and actions to reduce vehicular emissions. These include the following:

 Instead of piecemeal or partial use, public policy and action

programmes need to be implemented simultaneously and
comprehensively: Policy instruments and environmental management
measures are often used without taking note of the objectives they are
intended to accomplish. For example, regulatory, economic and persuasive
instruments or measures are by definition meant to make use of citizens’
fears of legal action, their economic interests and their moral/ethical sense.
The outcome from their using these instruments will be non-optimal at best if
all three sets of instruments are not used simultaneously and in a concerted
manner. Several cases in this report demonstrate the validity of this point.

 The physical infrastructure is an important influence on the choice of

free/low emissions transportation modes: Several cases reveal that
citizens have moved from car use to bus rapid transit (BRT) once the
infrastructure for the latter has been put in place. Construction of bikeways,
pedestrian ways and pedestrian malls have influenced citizens to walk and
bike and to leave their cars where these facilities are available.

 There is a need to expand public infrastructure and public transit to

reduce substitution of “‘public goods” with “private goods”: Widespread
substitution of public goods or public utilities by individually owned private
goods (which cost much more on a per capita basis) are eating at the vitality
of developing countries. In these countries, citizens often resort to corrupt
practices in order to have the resources to substitute for traditional public
utilities, such as electricity, by using individually owned electricity generating
machines (generator or IPS – instant power supply/systems) because of a
lack of a regular electricity supply. In the present context, the prime example
is citizens’ spending considerable amounts of money to own private cars in
the absence of adequate public transport.

 Ways and means must be found to overcome the financial constraints

to fund the substantial investments necessary for public infrastructure:
Investment in the public infrastructure for BRT, LRT and subways, for
example, will demonstrably serve the purpose of developing a green
economy. For this to happen, cost recovery needs to be built-into the

xviii
 financing mechanism. A few success stories presented in this report
demonstrate that this is possible.

 There is a need to discard policies that work at cross-purposes: Cities

with air quality management programmes also appear to have thriving car-
purchase lending programmes. Similarly, senior civil and military bureaucrats
and international elites posted in developing countries are entitled to have cars
even if the streets are already virtually impassable for reasons of congestion or
because emissions have risen to a level that they cause a high incidence of
respiratory diseases.

 Stakeholders’ participation must be made a reality: Pronouncements

concerning stakeholder participation are widespread, but are often made
without implementing policies that make this participation operative.
Stakeholder participation can reduce costs and facilitate the enforcement of
regulations.

 Forces that reverse positive change must be counteracted: Progress in

technological innovations for clean fuel and clean vehicles has been
associated with the rise in oil prices, but this progress brought about by
innovation is often stalled when oil prices collapse. This has been a recurring
pattern since the oil embargo of 1973. Recent developments indicate that this
self-defeating pattern is continuing.

 Policies of keeping fuel prices low and cars affordable must be

discarded: Although this study reports positively about making compressed
natural gas (CNG) the least expensive fuel, one distortion of this policy results
from car users no longer feeling that the fuel cost is a burden of any
significance. The rapid increase in car use in a city such as Dhaka (capital of
a low-income country) is at least partly explainable by the low price of CNG.
Other factors contributing to increased car use include the importation of low-
priced, reconditioned cars and the absence or inadequacy of a public
transport system. The situation may get worse if Tata’s “people’s car” makes
its way to the market of low-income cities.

 Urban sprawl and suburbanization must be contained: One widespread

response to high urban land prices is an increase in the horizontal spread of
cities to suburban areas (urban sprawl) and expansion of vertical (high-rise)
buildings in cities. Whereas the former has increased the per capita burning of
fossil fuels used to commute to city centres, the latter has made central city
streets and lanes often impassable because of traffic congestion. Development
controls and zoning can contain urban sprawl to an extent, but these tools have
often been violated in the name of freedom of choice, democratic rights, free
market norms, sheer muscle power and political patronage.

 Democracy and free market economy norms should not be allowed to

be used as a licence to violate development controls and zoning laws:
To overcome the problems alluded to in the paragraph above, urban

xix
 planning, compact city and smart growth paradigms need to be employed.
Acceptance of the free market economy, democratic policies and human
freedoms have not decreased, but rather increased the need for urban
planning. Millions of individuals’ free choice of residential and business
locations can never produce socially and environmentally desirable
outcomes. Developing countries in particular are ignoring urban planning at
their own peril.

 Technology is no panacea, but public policy support for innovations

can lead to more fuel efficiency and the development of green vehicles:
Numerous innovations are taking place in this regard. Incentive measures
need to be carefully designed to promote cost-reducing innovations for public
transit systems instead of focusing on improving the environment for
individually owned vehicles.

 International support (public and private) needs to be mobilized: It goes

without saying that the task at hand is complex and huge. None of the above
action agenda can adequately progress unless there is genuine international
cooperation to share knowledge and provide access to financial resources
and technology.

xx
 Abbreviations

AATA Ann Arbor Transportation Authority

ADB Asian Development Bank
ADME Agence de l’Environment et de la Maitrise de l’Energie
AFV Alternative Fuel Vehicles
AI Aspiration Index
ALS Area Licensing Scheme
APEIS Asia Pacific Environmental Innovations Strategy Project
BAQ Better Air Quality
BMA Bangkok Metropolitan Administration
BMR Bangkok Metropolitan Region
BMTC Bangalore Metropolitan Transport Corporation
BRT Bus Rapid Transit
BTS Bangalore Transport Service
CAC Command and Control
CAFE Corporate Average Fuel Economy
CBD Central Business District
CIDA Canadian International Development Agency
CME Coco Methyl Ester
CNG Compressed Natural Gas
COE Certificate of Entitlement
CRS Country Response Sheet
CSN Car Sharing Network
DANIDA The Danish International Development Agency
DPI Domestic Private Investment
EC European Commission
ECMT The European Conference of Ministers of Transport
EMM Environmental Management Measures
EI Economic Instruments
EMR Extended Metropolitan Region
EPA Environmental Protection Agency
ERP Electronic Road Pricing
EPPO Energy Policy and Planning Office of Thailand
ERP Electronic Road Pricing
EST Environmental Sustainable Transport

xxi
EU European Union
EV Electric Vehicle
FDI Foreign Direct Investment
FY Fiscal Year
GDP Gross Domestic Product
GEF Global Environmental Facility
GHG Greenhouse Gas(es)
GNI Gross National Income
GPS Global Positioning System
GVWR Gross Vehicle Weight Rating
IC Integrated Circuit
ICEV Internal Combustion Engine Vehicles
IDCT The District Institute of Culture and Tourism
IDU Institute of Urban development
IGES institute for Global Environmental Strategies
IKEA An American Home and Office Depot
II Information Instruments
I/M Inspection and Maintenance
IPCC Intergovernmental Panel on Climate Change
IPPUC The Institute of Research and Urban Planning
IQ Intelligence Quotient
IT Innovative Transport
ITDP Institute for Transport and Development Policy
JPOI Johannesburg Plan of Implementation
LDF Local Development Framework
LEV Low Emission Vehicles
LNG Liquefied Natural Gas
LPG Liquefied Petroleum Gas
LRT Light Rail Transit
MBI Market-based Incentives
MDG Millennium Development Goals
MDI Motor Development International
µg Micro-gram
MRT Metro Rail Transit
MRTS Mass Rapid Transport System
NEV Net Economic Value

xxii
NGV Natural Gas Vehicles
NHTSA National Highway Traffic Safety Administration
NMHC Non-methane Hydrocarbons
NMT Non-motorized Transport
NPP National Physical Plan
ODA Official Development Assistance
OECD Organisation for Economic Co-operation and Development
OPEC Organization of the Petroleum Exporting Countries
PM Particulate Matter
PI Persuasive Instruments
RIs Regulatory Instruments
RISPO Research on Innovative and Strategic Policy Options
SEPA State Environmental Policy Act
SI Suasive Instruments
SMG Seoul Metropolitan Government
TCF Transport Congestion Fee
TCRP Transit Cooperative Research Programme
TDM Transport Demand Management
TFP Travel Feedback Programme
TSC Transport Smart Card
UK United Kingdom
UN United Nations
UNCRD The United Nations Centre for Regional Development
UNFCCC United Nations Framework Convention on Climate Change
UOST Operating Unit of the Trolley bus
UPM Universiti Putra Malaysia
US United States
US$ United States Dollar
USAID United States Agency for International Development
VQS Vehicle Quota System
WHO World Health Organization

xxiii
1. Introduction
For a considerable time, the concerns surrounding emissions from automobiles have
been primarily focused on air pollutants – lead, particulate matter (PM), sulphur
dioxides (SO2), nitrogen oxides (NOx), carbon monoxides (CO) – because of their
effects on human health. The lead content in air has a harmful impact on children’s
intelligence quotients (IQs); PM, SO2 and NOx can cause respiratory diseases; ozone
can cause lung function decrement; and CO inhibits the capacity of the blood to carry
oxygen to body organs and tissues.

Most developed countries have now largely contained some of these emissions, as a
result of technological changes in vehicle parts and fuel content. However, this is not
yet the case in developing countries, although improvements in some are taking
place through technology transfer and local effort. No country or city, however, has
yet been able to overcome the other persistent transport problem, traffic congestion,
despite the harmful impact this has on stress and productivity.

Where it has been financially affordable, the policy response to this distress has often
involved large investments in roads, expressways and toll ways. Instead of easing
the problem, these mega-projects appear to have facilitated car1 use, resulting in
more cars on the roads. Therefore, it is not surprising that global vehicle numbers are
predicted to increase ten-fold from 2008 to 2050 (de Jong 2008). Meanwhile, the
mounting evidence concerning climate change and the contribution of greenhouse
gases to worsening this development has increasingly alarmed the global
community.

As a consequence, along with energy, the transport sector in general, and cars in
particular, have been the subject of unprecedented scrutiny. The transport sector has
an overwhelming dependence on fossil fuels – oil alone accounts for 81 per cent of
its energy use – and of the total CO2 emissions from an average car, 76 per cent are
from fuel usage (Chapman 2007, p. 355). The automobile’s greenhouse gas burden
is also evident from the fact that it is the second largest contributor to global warming
emissions from the transport sector (after road freight). This extent of CO2 emissions
from automobiles has transformed transport in general, and cars in particular, from a
local to a global issue. A growing body of opinion believes that “we need to do
everything we can to get people out of cars” (de Jong 2008). The question, however,
is how that is to be accomplished. A number of public policy ideas, initiatives and
actions (in nearly every major city) are in place to reduce automobile use and

1
Private cars or simply the word “car” in this report is defined to include individually or privately owned
vehicles used by individuals, households, offices and businesses for the purpose of commuting to work,
schools, shopping, long drives, sightseeing, etc. In many instances only one seat of a common five-seat
car is utilized. With chauffer use, as it is the case in many instances in developing countries, it
commonly involves utilization of two seats. For many users in these countries, a car is unaffordable.
Many could not buy a car without support from the government, a private sector employer or through a
bank’s lending policy. Some individuals spend their lifetime savings to buy a car. In other instances, a
car is purchased by selling land. A car’s total cost is even higher than its high private cost because of
associated social and environmental costs. Yet use of this small, emissions-generating vehicle
continues to be widespread in cities worldwide because a car provides privacy and convenience. It once
also saved commuting time. The notion of car as a prestige symbol is no longer a major factor, but its
role in increasing congestion and emissions is now widely understood.

1
emissions. Many of these are well-documented by international agencies such as the
Organisation for Economic Development and Cooperation (OECD), the World Bank,
the Asian Development Bank (ADB), the Institute for Global Environmental Strategies
(IGES), UNCRD and in numerous academic works.

This report has as an objective to assist government officials, business executives,

urban residents and environmental activists in their respective efforts to reduce
emissions from private cars. Its methodology is to explore ways of achieving
behavioural change to sustain the ongoing positive changes that will have lasting
effects.

One way to influence human behaviour is to use incentives. In this report, “incentive
measures” are used, not in the limited sense of economic incentives alone (e.g.,
subsidies or pollution charges), but in the broader sense of measures that will
influence citizen, industry and government decision making. These incentives utilize
at least three sets of policy measures: regulatory, economic and persuasive.

The means of reducing the impact of automotive use – cleaner fuels, greener
vehicles, public transit, walking and cycling – all require behavioural change. At the
same time, technology and investment in infrastructure can also be effective tools to
achieve these changes. For example, if technological innovations make cleaner fuel
less expensive, it will be easier for individuals to switch to using them. Similarly,
investment in public transit, good pedestrian walkways and bicycle ways also has the
potential to influence many urban residents to move from cars to these highly
desirable transportation modes.

The importance of behavioural change in limiting harmful emissions has been

increasingly realized2, but its future role as a means of influencing technological
change and necessary investment has not yet been widely recognized or practised.
The results of efforts to alter human behaviour – based on an analysis of selected
global practices being pursued largely through a two-pronged strategy (i.e., by using
cleaner fuels, greener vehicles and reducing car use) – is the subject matter of this
report.

Having set the context, the contents of this report are structured as follows: Section 2
defines the problem and highlights automobile use as major contributor to CO2
emissions. Section 3 then explores the policy failures that influence a continued
increase in automobile use. Section 4 provides an overview of the cases in the
Appendix that review and analyse the numerous ongoing public policies and actions
aimed at reducing CO2 emissions. Section 5 briefly pulls together the major
ingredients for improving infrastructure design and the actions taken to motivate and
sustain changes. Some concluding observations are found in Section 6.

2
In this report “regulatory”, “economic”’ and “persuasive” measures are respectively used for referring
to (a) command and control (CAC) or regulatory instruments (RIs), (b) market-based incentives (MBIs)
or economic instruments (EIs) and (c) education & awareness campaign or information instruments
(IIs)/suasive instruments (SIs)/persuasive instruments (PIs). Section 3.4 provides more elaboration on
these points. Amin, et al (2006) contains details.

2
2. Increase in Private Car Use: Domestic and Global
Environmental and Economic Challenges
As noted, until recently concerns about the growing use of light duty vehicles,
principally private cars, have been related to traffic congestion and emissions that
affect human health. In recent years, alarm about climate change and the
automobile’s contribution to CO2 emissions has added a new dimension to these
concerns.

With every nation viewing economic growth as the means to achieve its respective
development goals, the transport sector continues to be a driving force for growth,
along with industries that produce greenhouse gases. In this environment, the
absence of appropriate public policy, emissions policies for the transport sector will
continue to adversely affect the local environment, human health and climate
change.

The adverse effects of emissions produced by the transport sector can be minimized
by the implementation of concerted local, national and international efforts. These
efforts, if implemented wisely, can also reduce dependence on fossil fuels.

Although the focus in this report is on reducing CO2 emissions from the transport
sector, simultaneous action to reduce other sectors’ share of greenhouse gas
emissions must also be in place. Otherwise, any gains achieved by a reduction in car
use will be easily offset by inaction in other sectors.

While developed countries still account for the largest share of transport emissions,
the transport sector’s emissions from developing countries, particularly in Asia, have
been growing rapidly. Transport-related CO2 emissions are expected to rise 57 per
cent over the 25 years to 2030 (ADB, 2009). The ADB report notes that increases
from developing countries are expected to contribute to 80 per cent of this growth as
car (and light truck) ownership become more widespread.

2.1 Private car’s predominance in road transport

The private car continues to be the predominant transport mode globally, particularly
in developed countries. Along with economic growth and development, car
dependence is on the rise – at a faster pace – in developing countries as well. The
growth of car ownership is likely to follow the growth of per capita income, particularly
in the rapidly growing developing countries. Globally, light duty vehicle numbers are
predicted to increase ten-fold from 2008-2050 (de Jong, 2008). Along with aviation,
“motor cars are increasingly the favoured modes for passenger transport but are also
significantly the most damaging” (Chapman 2007, p. 357).

The factors influencing private car ownership include:

 personal or a company purchases;

 replacement of an existing vehicle or purchase of an additional vehicle;

3
  age, family status and employment status;
 residential location in relation to the workplace, to other destinations and to
alternative means of transport;
 driver’s licence status – newly licensed drivers, established drivers, or
relinquishing a driver’s licence;
 personal or household income (gross, net or disposable income);
 the net cost of purchase, annual costs of ownership and running costs in
comparison with other goods and services, and to alternative forms of
transport;
 whether the car is the 1st , 2nd or 3rd vehicle and its intended use; and
 discretionary factors relating to the size, technical specifications and features
of the vehicle.

The Aspiration Index (AI), based on “current ownership” levels and “future intention”
to buy a private car, shows that the AI for private car ownership is high in China,
Indonesia, India, Thailand, Korea, Hong Kong and the Philippines, as illustrated in
Table 2.1 (AC Nielson, 2005).

Table 2.1: Car ownership aspiration index in selected countries

High Medium Low

(AI>60%) (AI: 30-60%) (AI<30%)
China Malaysia US
Indonesia Singapore Sweden
India Taiwan Germany
Thailand Spain Norway
Korea Australia Austria
Hong Kong France Netherlands
Philippines Italy Finland
UK Denmark
Belgium Japan
Portugal
New Zealand
Source: AC Nielsen (2005), Aspiration index. http://kr.en.nielsen.com/pubs/2005_q1_ap_car.shtml

New road construction and private car ownership

A key factor influencing the increase in private cars is the construction of new roads.
Indeed, the expansion of roads, express and toll ways appears to facilitate car
ownership aspirations – the classical dictum of “supply creates its own demand”. For
example, the chart above shows that in Thailand the Aspiration Index for private car
ownership is high. To deal with severe traffic congestion in Bangkok during the late
1980s to 1990s, 175.9 km of expressways were constructed (ETA, 2005). This
development seems to have facilitated increased car use. Table 2.2 shows that more
investment in highway construction in China has been accompanied by an increase
in highway and expressway mileage.

4
Table 2.2 Relationship between transport infrastructure investment and car use

Year Highway Investment Highway mileage Expressway

(Billion USD) (10,000 km) mileage (km)
1998 1,072 127.9 8,733
1999 1,140 135.2 11,605
2000 1,261 140.3 16,314
2001 1,393 169.8 19,437
2002 1,529 176.5 25,130
2003 1,726 181.0 29,745
2004 2,032 187.1 34,288
2005 2,326 193.1 41,005
Sources: China Statistical Yearbook 2006
China Statistical Yearbook on Transportation and Communication 2006

Oil price declines and/or the extremely low price of an alternative fuel, e.g., the CNG
price in Dhaka, are other factors that do not help to achieve car or CO2 reduction
targets. Bangkok’s car ownership level stands at 399 per 1000 population compared
with Singapore’s 152 per thousand, although Singapore is a more economically
developed country. This is in sharp contrast with the observed positive relationship
between motorization and the “level of economic development” (Table 2.3).

The Singapore case demonstrates that public policy can make a difference.
Singapore’s low level of private car ownership was made possible because of the
government’s determined intervention. Initially, the government used economic
incentive measures, but later it added quantitative restrictions because the results
from tax measures did not produce the required outcome (Case A7). Promoting
public/mass transit also contributes to a reduction in the purchase/use of light duty
vehicles, because would-be car buyers have access to an alternative travel mode.

Other factors contributing to emissions from passenger vehicles

Levels of car ownership, along with other pertinent factors (e.g., fuel types and
vehicle technology), are factors contributing to the greenhouse gas emissions
release that stems from the transportation sector. Private cars are still the major
contributors to these emissions in terms of vehicle-kilometres and passenger-
kilometres travelled in rapidly growing developing country cities (Tables 2.3–2.4).
Controlling the private car population through stringent car ownership restriction
policies, as in Singapore, contributes significantly to reducing emissions. However, it
is important to note that car ownership is not the only factor contributing to these
emissions. Fuel types, technology and emission standards adopted are also
essential contributing factors.

5
Table 2.3: Trends in motorization

Motor vehicles Passenger cars

By income level/region per 1,000 people per 1,000 people
1990 2003a 1990 2003a
World 118 141 91 100
By Income
Low 5 8 3 6
Lower middle 22 39 10 29
Low & middle 25 47 16 35
Middle 37 69 24 51
Upper middle 121 187 91 143
High 499 623 390 433
By Region
East Asia & Pacific 9 20 4 14
Europe & Central Asia 97 170 79 142
Latin America & Carib. 100 153 72 108
Middle East & N. Africa 36 .. 24 ..
South Asia 4 10 2 6
Sub-Saharan Africa 21 .. 15 ..
Europe EMU 429 570 379 502
a. Data are for 2003 or most recent year available.
Source: World Bank’s World Development Indicators (WDI) (2006).
http://devdata.worldbank.org/wdi2006/contents/Table3_12.htm

6
 Table 2.4: Automobile sector growth in different countries

Country Population Per Capita GDP Total Total Market

GDP Growth automotive automotive growth
(PPP) Rate sales 2006 production 2006
(%) 2006 vs
2005
(%)
China 1,321,851,888 US$7,700 10.7 7,182,720 7,335,965 +22.4
(3,854,510)* (3,979,481)*
India 1,129,866,154 US$3,800 9.2 1,749,985 1,958,671 +21.6
(1,026,574)* (1,186,063)*
Thailand 65,068,149 US$9,200 4.8 682,055 N/A -3.0
(191,522)*
Japan 127,433,494 US$33,100 2.2 5,739,513 11,484,223 -1.9
(4,641,735)* (9,756,515)*
Malaysia 24,821,286 US$12,900 5.9 490,766 503,048 -10.9
(439,792)* (416,840)*
Indonesia 234,693,997 US$3,900 5.5 318,980 N/A -40.3
(209,086)*
Philippines 91,077,287 US$5,000 5.4 99,538 N/A +2.6
(40,555)*
Vietnam 85,262,356 US$3,100 8.2 41,112 N/A +16.6
(23,033)*
Singapore 4,553,009 US$31,400 7.9 115,087 N/A -5.8
(103,318)*
Hong 6,980,412 US$37,300 6.8 30,065 N/A -2.2
Kong (22,682)*
Taiwan 22,858,872 US$29,500 4.6 306,433 303,237 -31.4
(255,930) * (252,660)*
Australia 20,434,176 US$33,300 2.7 962,521 N/A -2.6
(761,675)*

*passenger cars
Source: Segment Y Automobile Intelligence web-site, http://www.segmentY.com/countries.html or
http://www.segmentY.com/[countryname].htm

2.2 Urban air pollution: impact on health and productivity

Productivity loss, human health effects and economic damage from traffic congestion
and air pollution are well documented (see Gorman 2002) and have received wide
media coverage. As a result, public policies to address these problems are in place in
most countries, but no city has been able to satisfactorily contain them. Some data
regarding this issue are presented in Tables 2.5-2.8.

7
Table 2.5: Air pollution scenario in different Asian cities

Population Particulate Sulphur dioxide Nitrogen dioxide

Country City thousands matter µg/m3 µg/m3
3
2005 µg/m 2002 1995-2001 1995-2005
Anshan 1459 92 115 88
Beijing 10849 99 90 122
Changchun 3092 82 21 64
Chengdu 3478 95 77 74
Chongquing 4975 137 340 70
Dalian 2709 55 61 100
Guangzhu 976 70 57 136
China
Guiyanj 2467 78 424 53
Harbin 2898 85 23 30
Jinan 2654 104 132 45
Kunming 1748 78 19 33
Anzhou 1788 101 102 104
Shanghai 12665 81 53 73
Wuhan 6003 88 40 43
Ahmedabad 5171 98 30 21
Bangalore 6532 53 -- --
Calcutta 14299 145 49 34
Chennai 6915 44 15 17
Delhi 15334 177 24 41
India Hyderabad 6145 48 12 17
Kanpur 3040 128 15 14
Lucknow 2589 129 26 25
Mumbai 18336 74 33 39
Nagpur 2359 65 6 13
Pune 4485 55 -- --
Indonesia Jakarta 13194 115 -- --
Iran Tehran 7352 68 209
Osaka 2626 37 19 63
Japan Tokyo 35327 42 18 68
Yokohama 3366 32 100 13
Malaysia Kuala Lumpur 1392 28 24 --
Philippines Manila 10432 42 33 --
Singapore Singapore 4372 48 20 30
Thailand Bangkok 6604 83 11 23
Source: World Bank World Development Indicators (WDI), 2006.

8
Table 2.6: Health effects associated with common vehicular pollutants

Pollutants Health effect

Lead Ingestion of lead aerosols has been linked to cardiovascular
disease, brain and kidney failure. Chronic effects include
behavioural and development problems among children, elevated
blood pressure, problems with metabolizing Vitamin D and
anemia. Exposure to lead has also been associated with
decreased sperm count in men, and increased likelihood of
spontaneous abortion among pregnant women.
Particulate Causes cardiopulmonary diseases, cardiovascular diseases,
matter respiratory diseases, lung cancer and other cancers.
VOC Toxic and precursor of ozone formation. It is also known to cause
harmful effects on the immune system, the neural network and
haemoglobin.
NO2 NO2 has been shown to have toxic effects on human health,
including altered lung function, respiratory illness and lung tissue
damage.
CO CO causes oxygen deprivation (hypoxia) displacing oxygen in
bonding with haemoglobin. This can cause cardiovascular and
coronary problems, increase risk of stroke and impair learning
ability, dexterity and sleep.
Ozone Ozone is dangerous to human health: it interferes with respiratory
(O3) functions, leads to reduced lung capacity and increases the
intensity of lung infections.
SOX Sox is associated with various bronchial conditions, which can be
acute even at relatively low levels of exposure for children and
asthma patients.
Source: Adopted from Gwilliam, Kojima and Johnson (2004, p.152) and Gorham (2002, pp 76 – 86).

9
Table 2.7: Relative problems of health-affecting pollutants in world mega-cities

Suspended particulate Sulphur dioxide

Name of cities Serious Moderate Low Serious Moderate Low
problem to heavy pollution problem to heavy pollution
pollution pollution
Bangkok √ _ _ _ _ √
Beijing √ _ _ _ _ _
Bombay √ _ _ _ _ √
Cairo √ _ _ _ _ _
Calcutta √ _ _ _ _ √
Delhi √ _ _ _ _ √
Jakarta √ _ _ _ _ √
Karachi √ _ _ _ _ √
Manila √ _ _ √ _ √
Mexico √ _ _ √ _ _

Seoul √ _ _ _ _ _

Shanghai _ √ _ _ √ _

Buenos Aires _ √ _ _ _ _

Los Angeles _ √ _ _ _ √
Moscow _ √ _ _ _ _

Rio de Janeiro _ √ _ _ √ _

Sao Paulo _ √ _ _ _ √
London _ _ √ _ _ √
New York _ _ √ _ _ √
Tokyo _ _ √ _ _ √
Source: Based on data contained in Gorham (2002, pp.82 – 86).

The economic damage caused by deteriorating air quality has yet to be

comprehensively documented. Table 2.8 presents available evidence showing that
the damage is less than two per cent of gross national income. The concern is that in
the absence of progress in mitigating the problem, the damage will rise.

10
 Table 2.8: Air pollution related economic damage

Carbon dioxide damage Particulate emission

Region
% of GNI 2004 damage % of GNI 2004
China 1.4 1.5
India 1.3 0.8
Indonesia 0.7 0.9
Iran 1.7 0.9
Japan 0.2 0.6
Malaysia 0.9 0.1
Philippines 0.6 0.3
Singapore 0.4 0.9
Thailand 1.0 0.6
East Asia & Pacific 1.2 1.2
Middle East & N Africa 1.2 0.9
South Asia 1.2 0.8
World 0.4 Wo0.5
Source: Based on World Bank (2006), World Development Indicators.

Table 2.9: Motor vehicle, passenger car and PM10 concentration in different
regions

Particulate matter
Motor vehicles Passenger cars concentration
Region Per 1000 people Per 1000 people Urban population weighted
PM10 (µg/m3)
1990 2003 1990 2003 1990 2002
World 118 141 91 100 77 60
East Asia &
9 20 4 14 112 80
pacific
Middle East & N
36 -- 24 -- 126 89
Africa
South Asia 4 10 2 6 131 99
Europe &
97 170 79 142 39 35
Central Asia
Latin America &
100 153 72 108 60 43
Carib.
Sub-Saharan
21 -- 15 -- 114 73
Africa
Europe EMU 429 570 379 502 33 27
Source: World Bank World Development Indicators, 2006.

Despite the increase in vehicular emissions such as CO2, the global increase in the
number of motor vehicles has thus far made no significant contribution to the
increase in PM10 air pollution. Although it is believed that the transportation sector
contributes to PM10, the record shows that an increase in the number of motor
vehicles does not necessarily increase PM10 pollution. Table 2.9 illustrates this.

11
It is important to note that success in reducing air pollution from vehicular sources
may be offset by an increase in the production and sale of more fossil fuel-based
motor vehicles. As shown in Table 2.9, passenger car sector growth-related
indicators render that scenario a distinct possibility.

2.3 Global CO2 emissions by region

Carbon dioxide, particularly from transport and industry, is a major greenhouse gas
that contributes to global warming and thereby climate change. Due to human
activities such as the combustion of fossil fuels, deforestation, and the increased
release of CO2 from the oceans (due to the increase in the earth's temperature), the
concentration of atmospheric carbon dioxide has increased by about 35 per cent
since the era of industrialization began.

The world's total annual CO2 emissions from various sources are about 24-27 billion
metric tons equivalent (UNSD 2008 and WRI 2008). Table 2.10 shows the annual
CO2 emissions by region.

Table 2.10: Annual CO2 emissions for different regions

Country 1980 1990 2000 2006

(Million Metric (Million Metric (Million Metric (Million Metric
Tons) Tons) Tons) Tons)
North America 5488.11 5806.56 6820.19 6954.03
(24%)
Central & South 627.76 716.95 992.81 1138.49
America (4%)
Europe 4707.50 4568.17 4500.07 4720.85
(16%)
Eurasia 3092.69 3834.05 2355.98 2600.65
(9%)
Middle East 490.76 730.05 1093.74 1505.30
(5%)
Africa 537.76 728.00 892.07 1056.55
(4%)
Asia & Oceania 3558.55 5299.37 7365.81 11219.56
(38%)
World Total 18503.12 21683.16 24010.66 29195.42
Source: Energy Information Administration (2006). World carbon dioxide emissions from the use of fossil
fuels, International Energy Annual 2006.

Table 2.10 shows that CO2 emissions are the highest in Asia, which accounts for 38
per cent of the world’s total. Asia’s huge population, rapid industrialization, increasing
urbanization and growing motorization are some obvious reasons for these figures.

12
Developed and developing country differences on CO2 emissions

One positive development is that there appears to be a slight decrease in high-

income countries’ share of total CO2 emissions (see Table 2.11). This trend is
clouded by the propensity of among low- and middle-income countries to show an
increase in these emissions. The achievements in some countries may have been
made possible in part by the requirements of the 1997 Kyoto Protocol. The increase
of CO2 emissions in certain countries may be largely attributable to higher rates of
growth in these countries and increasing reliance on private cars for urban mobility.

Table 2.11: CO2 emissions by level of income

Countries Share in CO2 emission (%)

2002 2001 2000
High income 48.9 49.8 50.0
Middle income 41.3 40.5 40.5
Low income 9.8 9.7 9.6
Total 100.0 100.0 100.0
Source:
http://earthtrends.wri.org/searchable_db/index.php?theme=3&variable_ID=466&action=select_countries
(online database).

2.4 Transport as a key source of CO2 emissions

Data from the 1990s show three main sectors – industry, transportation and
commercial and residential – respectively contributed 47 per cent, 22 per cent and 31
per cent of the world’s total CO2 emissions (Halman and Steinberg, 1998). According
to IEA data (IEA 2000 cited in Chapman, 2007 p. 355), the sectoral (categorized
differently) origin of CO2 emissions is of the following order: energy production (41
per cent), manufacturing and construction (19 per cent), transport (26 per cent),
residential (8 per cent) and commercial and others (6 per cent). Later data from the
U.S. government’s Environmental Protection Agency (EPA) reported that
“Transportation sources accounted for approximately 29 per cent of total U.S.
greenhouse gas (GHG) emissions in 2006. Transportation is the fastest-growing
source of U.S. GHGs, accounting for 47 per cent of the net increase in total U.S.
emissions since 1990. Transportation is also the largest end-use source of CO2,
which is the most prevalent greenhouse gas.”
(http://www.epa.gov/otaq/climate/index.htm).

13
 Table 2.12: Global CO2 emissions by sector

Producing sector Sectoral share (%)

Power Generation 44.4
Industrial sector
Steel 6.0
Cement 3.0
Paper & pulp 0.8
Non-ferrous metals 0.5
Other industries 10.9
Sub-total 21.2
Domestic
Household 9.5
Commercial, others 3.4
Sub-total 12.9
Transport
Automobile 18.5
Others 2.9
Sub-total 21.5
Source: Based on IEA, World Energy Outlook, International Energy Agency, Paris, 2005.

Evidence that the transport sector is one of the largest contributors of CO2 emissions
is also seen in Table 2.12. Consequently, the reduction of emissions from this sector
will likely have multiple impacts on air quality, health and global warming. Increasing
concern about transport CO2 emissions has stimulated local efforts to control them.
These have ranged from encouraging more pedestrian walkways and non-motorized
travel to discouraging motor travel through the use of congestion fees, higher taxes
on automobile purchases, etc. (see Chapter 4 and the Appendix citing cases).

Freight, aviation and shipping

Although road transport is the largest producer of CO2 in the transport sector, the
automobile is not the only source of these emissions. Buses, taxis and inter-city
coaches all play a significant role. Freight, for example, typically accounts for just
under half of road transport total emissions (Chapman, 2007 p. 356). In addition, the
contribution of aviation to climate change is well-documented. Emissions generated
by aviation are directly released into the upper atmosphere, creating pollution that
travels far from its source. Major quantities of climate changing pollutants are
generated by aviation, which, except for a slowdown during the economic crisis of
2007 – 2009, has been rapidly expanding (Somerville, 2003). Increasing numbers of
aircraft also lead to delays in landing that reduce fuel efficiency, thereby increasing
greenhouse gas emissions.

Shipping is a transport mode able to move a bulk quantity of goods and is the
dominant transport mode for overseas freight. Shipping is often recognized as a

14
sustainable, energy efficient and relatively environmentally friendly form of transport
(The UK Department for Transport (DfT 2004). Technological advances to improve
the fuel efficiency of shipping derive from the design of better ship engines, slowing
speeds and more efficient ship hulls, which can cut emissions as much as 50 per
cent (International Maritime Organization (IMO 2000). The use of cleaner fuel for
ships can also reduce the emissions generated by 90 per cent (Chapman 2007, p.
361). In addition, ships can also use fuel cells as a hybrid energy source. All of these
possibilities, individually or in tandem, are expected to further reduce emissions from
shipping.

Road freight, which has been continuously expanding, is also a considerable burden
on the environment. Data show that CO2 emissions from freight relative to gross
domestic product are dominated by trucks, particularly in countries where trucks are
more viable options than other freight modes (Schipper and Fulton, 2003). Reversing
the growth of road freight to more sustainable levels is expected to reduce global
CO2 emissions.

Implications of oil as the predominant fuel

The transport sector’s CO2 emission levels are elevated because oil is still its
predominant fuel. Oil accounts for 97 per cent of the transport sector’s fuel use, while
natural gas accounts for two per cent, electricity one per cent, and renewable
sources of energy less than 0.5 per cent (IEA, 2002). Moreover, the production and
distribution of fuel for the transport sector also contributes significantly to CO2
emissions, one of the reasons the transport sector has been identified as a key
sector in the Kyoto Protocol. Kyoto’s objective was to reduce worldwide greenhouse
gas emissions by 5.2 per cent from 1990 levels by 2012 (Chapman, 2007). This
commitment was also restated at the 2008 Bali conference of the United Nations
Framework Convention on Climate Change (UNFCCC). Containing transport sector
emissions is obviously key to attaining this goal.

2.5 Mechanism of CO2 emissions

Vehicles that produce energy by the combustion of hydrogen and carbon present in
fossil fuels produce water vapour, H2O and CO2, which increases global
temperatures by trapping energy from sunlight. The greater the energy production
and use in the transportation sector, the more it generates CO2. The
Intergovernmental Panel on Climate Change (IPCC) (2007) reports that “road
transport currently accounts for 74 per cent of the total transport CO2 emissions”
(IPCC 2007, p. 325). Twenty-three per cent of world energy-related CO2 emissions
originate from the transport sector. The growth rate of these emissions is highest
among the end-user sectors. Such high CO2 emissions and their links with GHG,
temperature rise and climate change require de-carbonization of the transport energy
system through the use of alternative fuels, such as electricity, hydrogen and
biomass (IPCC 2007, p. 325). Despite some improvements in this direction, the trend
in fossil fuel CO2 emissions continues to rise (Table 2.13) from the combined effect of
population growth and more dependence on private cars.

15
 Table 2.13: Trends in fossil-fuel CO2 emissions in top 20 emitting countries

Per capita emission rate

Country (metric tonnes)
1990 2006

0.58 1.27
China
United States of America 5.24 5.32**
Russian Federation 3.65* 2.87**
India 0.23 0.37
Japan 2.61 2.80
Germany 3.56 2.67
United Kingdom 2.69 2.47**
Canada 4.43 4.55
Republic of Korea (South Korea) 1.45 2.56**
Italy (Including San Marino) 2.04 2.19
Islamic Republic of Iran 1.14 1.81
Mexico 1.26 1.13
South Africa 2.49 2.38**
France (Including Monaco) 1.91 1.71
Saudi Arabia 3.66 4.36
Australia 4.68 4.90
Brazil 0.39 0.51
Spain 1.49 2.16
Indonesia 0.23 0.41
Ukraine 3.20* 1.86
* Russia and Ukraine figures are for 1992. No more recent data are available
for these countries. .
** Data from the USA, Russia, UK, South Korea and South Africa are from
2005.

Source: Based on data from the Carbon Dioxide Information Analysis Center
(http://cdiac.ornl.gov/trends/emis/tre_usa.html)

CO2 emissions and the fossil fuel relationship

The increase in CO2 emissions largely corresponds with an increased use of fossil
fuels (IEA 2005). Transport’s share of CO2 emissions stemming from fuel combustion
is shown in Table 2.14.

A breakdown of different transport modes shows road transport as the highest

contributor, accounting for 65 per cent of CO2 emissions. Rail, domestic aviation and
waterways account for 23 per cent, international aviation 5 per cent and international
shipping for 7 per cent (Chapman, 2007, p. 355).

16
 TABLE 2.14: Transport sector’s share (%) of CO2 emissions
from fuel combustion

Sector World OECD

Road 18 23
Aviation 3 3
Navigation 2 2
Other Transport 1 1
Energy Industries 45 43
Manufacturing
Industries and 18 14
construction
Residential 8 8
Other Sectors 5 6
Total 100 100
Source: IEA (2005) CO2 emissions from fuel combustion.

To summarize: the industry and transport sectors are the two major contributors of
CO2 emissions. Within the road transport sub-sector, the automobile is the largest
source of these emissions. Therefore, any attempt to reduce global CO2 emissions
requires giving explicit attention to the transport sector. A wide array of transport-
related policies and strategies to reduce GHG are being employed. These include
restraining vehicle usage, managing traffic congestion and reducing energy use,
GHGs and air pollution. Based on these strategies, IPCC (2007, p. 336) suggests
four sets of measures to reduce emissions associated with vehicles:
 reducing the loads on the vehicle;
 increasing the efficiency of converting fuel energy for work purposes;
 changing to less carbon-intensive fuels; and
 reducing emissions of non-CO2 GHGs from vehicle exhaust.

The commonly applied policies and measures for the transport sector, as noted by
IPCC (2007, pp. 366 – 375), are the following:
 land use and transport planning;
 taxation and pricing, regulatory and operational instruments;
 fuel economy;
 transport demand management;
 non-climate-degrading policies to reduce GHG emissions; and
 realizing co-benefits and ancillary benefits.

Although the these policies and measures have, at present, shown limited results,
they are increasingly considered to be key to global efforts directed at reducing the
transport sector’s CO2 emissions.

17
3. Increase in Private Vehicle Use as Policy Failure
Many factors contribute to the increased use of private cars. While most of these are
policy amenable factors, in most instances known solutions or policy measures have
not been fully grasped or adequately used. Some of the common reasons for this are
as follows:

 Non-use or inadequate use of urban planning paradigms to contain

problems such as urban sprawl that increase car dependence, particularly in
the absence of public or mass transit;
 Lack of a comprehensive strategy to encourage the development of a
green transport sector, e.g., an environmentally sustainable transport (EST)
strategy launched by OECD countries or the one initiated by the UNCRD in
Asian countries;
 Inadequate understanding of circumstances and motivations that increase
car ownership;
 Lack of understanding of the policy tools that can be used to influence
behavioural change, e.g., the role of (a) taxation or subsidies and (b) other
regulatory, economic or persuasive measures appealing to economic
interests and moral/ethical considerations;
 Failure to realize the full potential of technological changes or
innovations leading to cleaner fuels and greener vehicles;
 Lack of appreciation of the role of and need for public investment in
infrastructure, e.g., pedestrian and bicycle ways, light rail, good bus service
and other forms of mass transit;
 Inability to attract domestic private investment (DPI) and foreign direct
investment (FDI) to meet the capital cost of a green transport infrastructure,
often because of reluctance to allow cost recovery and perceived public
(voter) opposition;
 Failure to fully grasp the value of involving stakeholders in the effective
implementation of a policy, enforcement of a regulation or dissemination of
information that could make them more receptive to environmentally friendly
public policies and programmes.

In light of the above, public policies and actions to reduce private car use or
otherwise reduce emissions remain inadequate. The following sections of this
chapter elaborate on the above points based on materials reviewed and the cases
prepared for this report.

3.1 Neglect of urban planning

Neglect of urban planning has given rise to a host of urban environmental problems,
including urban sprawl that, in turn, is increasing motorized travel, particularly by
private cars in the absence of good public transit systems, as is the case in
developing countries. Transport, a key to urban mobility, is obviously a major
component of an urban system. Urban mobility and urban development are inter-
related. If there is a strong city plan, urban mobility becomes a sub-component of
urban development. However, in cases where strong city planning is absent, overall

18
urban development is dictated by other sub-components, such as housing
development. In the latter case, urban sprawl often predominates.

Two inter-related phenomena – (i) the erroneous notion that scope of planning is
limited to countries having a free market economy and (ii) that planning education
and educated professionals have only a limited influence on urban public policy – are
impeding the use of land use planning, development controls and urban containment
strategies. As a result, suburbanization, urban sprawl and extended metropolitan
regions (EMR) are widespread features of contemporary cities. In populous
developing countries, such as Mexico for example, this development has taken the
form of mega-cities.

Urban containment

Urban containment policies limit sprawl by restricting out-of-town development

(Gabrielsons et al 1997). Specifically, they work by restricting development outside of
a designated zone and provide accessibility to all destinations in an urban area to
residents in and outside of the area. Shopping, jobs and schools are closer to home
and more easily serviced by private and public transportation.

Urban containment reduces emissions by encouraging compact development.

Cultural institutions and public parks are well coordinated to correspond with traffic
patterns, making them more relevant to the residents of a compact urban
environment. Commonly used strategies for urban containment include: regulatory
(e.g., growth boundaries, green belts) and economic instruments (development
taxes, property taxes and gasoline taxes). However, regulatory instruments are more
commonly used than economic ones. In developing countries, effective
implementation of urban containment strategies is still very limited. As a result, cities
are expanding horizontally in all directions, particularly along road corridors.

Land use planning tools and choice of travel modes

Unsuitable use of land is normally caused by inconsistent land use planning and
implementation. Moreover, the absence of a land use plan – not uncommon in cities
of developing countries – can make a bad situation even worse.

The pace of urbanization often exceeds a city authority’s capability to establish an

effective and responsive land use plan, and where such a plan is in effect, insufficient
implementation may create spatial incompatibilities and associated undesirable
impacts, such as energy-intensive urban forms (Permana, Perera and Kumar, 2008).

In residential areas, multi-family dwellings tend to have a lower energy use per unit
area than single-family dwellings. In the former, if elevators are required, the energy
savings may be offset somewhat, but this does not cancel the considerable energy
savings resulting from less travel associated with living in a compact city and
environment.

19
The travel necessities of citizens are influenced by the distance between the origin
and the destination needed to accomplish their tasks. It is also the case that the need
for and availability of travel generates additional trips for various purposes.

The general features of urban mobility include work trips, shopping trips, social or
recreation trips, business trips and school trips (Meyer and Miller, 2001). Although
the nature of these trips varies from city to city, most classifications include the
following (Hanson, 1995):

 work trips made to a person’s place of employment, e.g., public or private

institutions, manufacturing plants, retail stores or shopping malls;
 shopping trips to any retail outlet, regardless of the size of the store and
whether or not a purchase was actually made;
 social trips made for social activities, e.g., to go to parties or visit friends;
 recreation trips made to go to entertainment, cultural or other recreational
facilities;
 school trips made by students at any level to a learning institution;
 business trips usually defined to include trips made from a place of
employment to another destination in the city; and
 home trips include any trip ending at home.

For moderate and longer travel distances, motorized transport is generally required.
This means that citizens’ choice of a motorized or non-motorized transport mode is
affected by land use. If there is “no origin-destination separation” or if a trip is “within
walking distance separation”, motorized transport is not required. Consequently, no
energy (non-human) is required for transportation purposes, no emissions are
released and better urban air quality is achieved.

Origin and destination governs individual travel pattern

Origin and destination affect transport mode choices and also govern individual travel
patterns. The movements of urban citizens can be analysed by identifying existing
urban forms with respect to the origin-destination hypothesis. Permana (2005)
identifies four general types of the forms that affect the physical mobility of citizens
and lead to motorized transport demand and, in some cases, transport energy
wastefulness:

 star-type polycentric with origin-destination (O-D) separation (Figure 3.1);

 concentric with origin-destination separation (Figure 3.2);
 polycentric multi-linkage with partial origin-destination separation (Figure 3.3);
and
 full origin-destination separation (Figure 3.4).

Figures 3.1 – 3.4 use schematic diagrams to illustrate different types of origin-
destination patterns. Each urban form creates different traffic loads at its links on
condition that equal traffic volumes exist in each of the forms. Figure 3.1 is
characterized by separation of origin and destination, those with a single linkage of

20
origin-destination and also those with single destinations. This pattern influences the
mobility of the individual citizens as reflected in the following:

In Figure 3.2, the central business district (CBD) is the place for working and
shopping. Traffic is therefore generated to provide the linkages between origin and
destination. In fact, the pattern depicted in Figure 3.1 has similarities to that in Figure
3.2. In these models, concentric residential areas will grow peripherally – each
connecting with the other to form a concentric pattern. This has been the case in
some developing country cities, where a concentric pattern of the urban form spreads
over the city beyond walking distances. As a result, the motorized travel dependence
of the citizens is considerable. The situation is also worsened if there is an absence
of a pedestrian-friendly environment.

Figure 3.3 illustrates a general pattern in a polycentric form with development of

independent sub-centres. The sub-centres are linked to one another, which causes a
proportional distribution of traffic load. Lesser traffic loads to the CBD occurs in this
model, because in the independent sub-centres, motorized transport is not required
because of the proximity between origin and destination. The principle of
neighbourhood development becomes operational in sub-centres (William, et al.,
2000) if it is complemented by public facilities (Friedman, 1996). This can be
reinforced by supporting the growth of independent sub-centres as satellite cities or
towns.

The nature of the urban form does not in itself ensure or reduce energy conservation;
however, the emergence of a particular urban form can significantly contribute to
reducing car use and emissions. For example, changes in the relative location of
residences and workplaces make it possible for transport energy consumption to be
reduced through reductions in average journey-to-work trip lengths and mode
switching from car to public transit (Anderson et al., 1996).

Travel patterns are greatly affected by travel behaviour. Dieleman et al. (2002) clarify
that personal and household characteristics such as income, family composition and
participation in the workforce have an impact on mobility behaviour and modal
choice. Another factor is the location of residences, whether in the city centre or
suburbs, as well as the compactness of the residential environment. Still another
concerns the purpose of the trips undertaken. These factors, along with the length of
the trips and the choice of travel modes, will be impacted by urban planning
paradigms. However, these paradigms alone, without efforts to influence users’
behaviour, will not yield the desired outcome.

21
Fig 3.1 Star-type (polycentric) with O-D Separation Fig 3.2 Concentric Pattern with O-D Separation

Fig 3.3 Polycentric Multi-linkages with Partial O-D Fig 3.4 Full O-D Separation Polycentric Pattern
Separation

Source: Permana, A. S. (2005). Impacts of Existing Land Use Pattern on Urban Physical Mobility and
Air Quality in Bandung City, Indonesia.

In short, a tendency towards motorized travel occurs if the distance between origin
and destination is longer than walking distance. Moreover, the absence of an
adequate public transport system will increase the propensity of users to travel in
private vehicles. However, a well-planned urban form, in the absence of sufficient
public transport, will still increase dependence on private cars. The absence of either
will be detrimental to the search for an environmentally sustainable transportation
system.

22
3.2 Failure to adopt comprehensive and environmentally
sustainable transportation strategies

Following the lead of the OECD countries, the United Nations Center for Regional
Development (UNCRD) has been promoting environmentally sustainable strategies
in Asian countries through inter-governmental policy dialogues, expert group
meetings, discussions with mayors and regional forums. UNCRD has identified 12
thematic areas for promoting EST in Asia. These are the following:

 disseminating information on the link between vehicular emissions and public

health;
 propagating the importance of and supporting the integration of land use and
transport planning;

 promoting an environmental and people-friendly urban transport

infrastructure;

 advocating public transport planning and transport demand management

(TDM);

 promoting non-motorized transport, particularly walking and bicycling;

 promoting social equity and gender equality in transportation systems;

 ensuring road safety;

 monitoring and assessment of roadside air quality;
 adoption of vehicle noise standards;
 use of cleaner fuels;
 improving vehicle emission controls, standards, Inspection and maintenance
(I&M); and
 launching awareness campaigns to enhance public knowledge and
participation.

These activities form a comprehensive strategy for promoting environmentally

sustainable transport. Behavioural and technological changes are not explicitly
included, but are implied in the awareness campaign that disseminates information
about the links between vehicle emissions and public health, as well as in the
encouragement to use cleaner fuels. Economic incentives, regulatory measures or
financing of investments to support a green transport infrastructure are also absent;
however, these themes appear in country or city presentations and deliberations that
follow in UNCRD-organized regional dialogues and forums.

Although this EST initiative and follow-up activities have generated considerable
interest among countries, cities and expert members, the national governments of
Asia’s developing countries are still far behind their developed counterparts in Asia,
e.g., Japan, the Republic of Korea and Singapore. Therefore, while the message of
EST is spreading, the Incorporation of EST strategies by national and city
governments in Asia’s developing countries is still very limited. These strategies –

23
including financial support for public/mass transit, technical assistance for urban
planning, integration of land use planning and transportation and development
controls – can make a considerable difference in EST adoption by developing
country and city governments.

Integration of transport planning into land use planning

Integration of transport planning into land use planning is central to developing

environmentally sustainable transport systems. In most cases, this integration is
absent; as a result, public transit systems, when not completely lacking, are often not
compatible with land use. This, along with other factors mentioned previously, leads
to the extensive use of private cars and creates car-dependent citizens. When these
two key paradigms are integrated and provided that public transport is of high quality
(see following section), citizens can expect to enjoy the benefits of a seamless transit
system starting from their homes, as well as efficient intermodal transfers.

Absence of adequate public transport

Public transportation can play a major role in reducing energy use, air pollution and
global warming and can compensate in part for inefficient land development patterns
(Nash, 2006), but for public transport to have a greater share of the urban transport
system, the service must be reliable, adequate and comfortable.

As the need for passenger transport continues to grow, the increased use of private
cars and a reduced number of passengers per car will negate the improvements
gained from improvements in vehicle efficiency. This is another challenge for cities
with insufficient public transport. One key obstacle to achieving a mode shift from
private to public transport is the poor availability, slowness and unreliability of many
public transport services. The quality of the urban transport infrastructure (i.e., roads,
trains, buses, public spaces, bus stops, terminals and footpaths, etc.) is an important
problem in this regard. Poor quality has a tendency to discourage users who have an
alternative option (mostly a private car). Indeed, it may be easier to deter people from
using public transport if it is low quality than to attract them back when the quality
improves. This is because non-users are often not aware of quality improvement
initiatives and are therefore less likely to be influenced. Insufficient attention given to
raising awareness about improvements could restrict the use of public transport to
only those users who do not have a choice due to factors such as age or economic
status.

Providing good public transport service and adequate transit system facilities is a
public service task of government. A clean, comfortable and efficient public transport
system is a precondition to reducing the use of private cars and to developing a
transit-oriented population. To achieve this, the transit authority needs to equip itself
with adequate regulatory instruments and should be supported by a clearly spelled-
out urban land use plan which guides the development of a public transit system.
Unfortunately, as noted, public transit, in most developing countries is “overcrowded,
uncomfortable, undependable, slow-moving, uncoordinated, inefficient and

24
dangerous” (Kashirsagar, Bhushan and Prakash, 2008). Inadequate investment, poor
maintenance and low fares are some of the reasons for this.

Several cities, however, have pioneered change by introducing decent public transit
service. Bogota’s BRT operation, largely funded by fare collection (Case 43);
Jakarta’s bold start with BRT (Case 42); Bangkok’s “ sky train”; Beijing’s &
Shanghai’s MRTS (Case 40 and 41); and electric trolley bus service in Quito,
Ecuador (Case 26) are good examples of these changes, which are likely to inspire
similar undertakings in the near future. (See also Chapter 4 for a summary of these
cases). Table 3.1 provides a quick summary:

Table 3.1 Strategies for influencing urban mobility and reducing dependence
on private cars

Strategy for Key elements/ Adopting city/country and the appeal of the
influencing objectives in the experience
EST strategy
Urban Densification to Case 1: Vancouver adopted urban planning and
planning reduce car use a densification strategy for reducing car use
(including Integration of land Case 9: Curitiba introduced an urban planning
land use use planning and practice that integrates transport planning
planning) transport planning
into urban
planning
Transport Integration of all Case 50: Singapore stands out among Asian
planning elements of countries in its integration of transport and land
transportation use planning
towards an and Case 51: Beijing’s integrated road transport
environmentally system development
sound
transportation
system
Infrastructure Restoring a Case 23: Restoring the Cheonggyecheon stream
stream to improve in Seoul
the transportation
system
Development of Case 4: An model bikeway programme in a
bikeways to create Philippine city
a pedestrian-
friendly
environment
Development of a Case 52: Several European cities popularize
pedestrian mall pedestrian malls to enhance the city’s image and
reduce automobile traffic

25
Public mass More efficient Case 10: Curitiba’s busways are a model of bus
transit mass rapid transit rapid transit
system, e.g., bus Case 13: Bangalore overcame perennial losses
rapid transport, rail in running its bus service by a combination of
transport or fleet modernization, augmentation of service,
subway revenue mobilization, fare policy and cost
minimization measures
Case 26: The electric trolleybus system in Quito,
Ecuador was made a reality by giving attention to
financing and cost recovery
Case 39: Bangkok’s van transit service. Its ride
sharing contributes to reducing traffic congestion
Case 40: Institutional, technological and
financing innovations allowed Beijing to
overcome the barriers to create its MRTS
Case 42: Rail-based Mass Rapid Transport
System in Shanghai, China
Case 42: Jakarta makes a bold start with BRT in
reducing car use
and Case 43: Bogota’s BRT operation funded
entirely by fare collection
Bus pass program Case 39: Ann Arbor, Michigan, USA bus pass
programme reduces car use by ten per cent
Greener car Wind powered Case 25: Calgary makes its wind-powered
technology commuting rail commuter train a reality by incorporating private
companies
Hybrid technology Case 45: Hybrid technology car
Tata Nano Car Case 44: Tata’s Nano Car: concern about the
trade-off between “people’s car” lmage vis-à-vis
energy efficiency)
Electric car in Case 49: Kathmandu introduces electric three-
developing wheelers to replace diesel vehicles
countries
The use of four- Case 47: Switch from two-stroke to four-stroke
stroke motorcycles motorcycles introduced in Thailand
Cleaner fuel Alternative fuels Case 5: Hydrogen fuel – an outcome of
technology (renewable fuel) automaker’s investment for sustainable mobility
Case 6: China incorporated a fuel cell initiative in
its high technology development programme
Case 11: China maintained its tradition of
learning from others as reflected in its adoption of
Shanghai’s alternative fuel vehicles
and Case 49: Beijing’s programme to transform
vehicles for alternative fuel use
The use of CNG Case 14: Delhi CNG programme follows a
(cleaner fuel) Supreme Court mandate
Biofuel Case 28: Bio-fuel in Thailand obtained
momentum from E85 adoption
Fuel economy Case 17: Novelty in U.S. fuel economy
improvement system
and Case 18: Japan followed American lead in
allowing manufacturers to accumulate credits
from fuel economy improvements

26
These initiatives in public transit were launched to reduce the dependence of citizens
on the use of private vehicles. The operation of these systems is gradually
contributing to an increase in the share of public transport in the urban transport
systems in terms of passenger-kilometres travelled. To benefit more from public
transit, these programmes need to be complemented by constructing pedestrian and
bicycle-friendly environments. In that regard, facilities that provide more modal
complementarity are helping to discourage citizens from using private vehicles, as
has been observed in some European countries and Japan.

Absence of pedestrian-friendly environment

A sufficient pedestrian-friendly environment can encourage people to walk or bike

and reduce the use of private cars. Governments that provide a pedestrian-friendly
environment as part of their public service function tend to do so in certain public
areas where pedestrians are encouraged to come or are expected to be present. A
central business district is one favourable location for creating this kind of
environment. In many cases, pedestrian streets, broad sidewalks, streets, stores and
housing have been organized to create a vibrant atmosphere that stimulates transit
use, economic investment and that provides a sense of place.

Unfortunately, pedestrian-friendly environments are still rare in developing countries.

An unfortunate development in these countries has been the disappearance of areas
that have traditionally been characterized by walkways or open space. Nonetheless,
the worldwide interest in improving the pedestrian environment is growing as a
means of encouraging non-motorized travel, reducing vehicle-miles and controlling
pollution emissions. Increasingly, emphasis is being placed on the role of the
importance of physical activity associated with walking and biking in improving public
health (Parks and Schofer, 2006).

Jian et al. (2005) note that the pedestrian movement is exerting an important
influence on the design of transportation facilities – walkways, traffic intersections,
markets and other public buildings. The authors argue that the random flow of
pedestrians is an essential ingredient in city planning. Studies indicate that the flow of
large pedestrian crowds associated with special events are limited when compared
with that of pedestrian flow in a normal walking environment. In large crowds, there is
a potential for injury and even loss of life resulting from the dynamics of the crowd’s
behaviour (Lee and Hughes, 2006). The complexity of pedestrian behaviour derives
from the presence of collective behavioural patterns evolving from the interactions
among a large number of individuals. This suggests the need to consider two
different approaches: pedestrians as a flow and pedestrians as a set of individuals or
agents (Antonini et al, 2006).

The concept of a pedestrian-friendly environment is being increasingly integrated into

the “smart growth” concept. Smart growth (Irwina and Bockstael, 2004) attempts to
optimize the trilateral components of development: social, economic and
environmental. To qualify as a smart growth city requires that a balance be struck
between the needs of pedestrians and those of motorists. The balance does not

27
necessarily mean that the needs of both are quantitatively equal; it focuses rather on
maintaining an appropriate proportion of both in a total transportation plan.

Until recently, the needs of motorists have been considered at the expense of
pedestrians, particularly in developing countries. An example, as noted, is the
absence of walkways and a pedestrian-friendly environment that increases the share
of motorized travel with all of its associated consequences: traffic congestion, air
pollution and greenhouse gas emissions.

Cycling and walking: their advantages and disadvantages

Along with walking, cycling (and, for that matter, all non-motorized transport) have an
important role to play in reducing car use. Cycling and walking provide access to
public transport for long trips and provide alternatives to the use of the private car for
short local trips. It should be noted, however, that safety (actual and perceived) can
be a major barrier to walking and the use of bicycles. Indeed, non-motorized users
are amongst the highest casualty groups in accidents involving motorized transport,
particularly in developing countries. But studies show that as more people use
cycles, the safer the environment is for each cyclist. According to Jacobsen's Growth
Rule, if the number of cyclers doubles, the risk per cyclist falls by 34 per cent. If the
number cycling halves, the risk per cyclist increases by 52 per cent (Jacobsen,
2003).

There are some other concerns associated with the promotion of cycling and walking.
The policy on wearing cycle helmets varies across Europe, but where it is
compulsory there are concerns that it can discourage potential cyclists. Security is
also an issue, particularly apprehensions concerning bicycle theft and vandalism, and
for pedestrians’ walking alone at night. However, these concerns are more than
offset by the advantages walking and cycling provide.

Networks, rather than individual routes for cyclists, lead to greater ridership, whereas
high-quality footpaths, crossings, cycle parking and other amenities increase the
attractiveness of cycling and walking. Planting trees along walking and cycling routes
is essential to reduce the discomforts associated with hot and humid weather. This is
a factor affecting modal choice in cities of the tropics.

Journey distance and purpose can also create barriers for the use of non-motorized
modes. UK travel survey data show that for shopping trips 51 trips per person per
year are undertaken by walking, compared to 82 by private car as drivers (42 as
passengers) (Department for Transport, 2006). However, the average length of
walking trips is one kilometre, compared to 8.4 kilometres for a car with a driver (10.9
kilometres as passenger). Consequently, it is mainly shorter shopping trips that are
likely to be undertaken on foot.

28
3.3 Influencing behaviour: partial and piecemeal use of incentive
measures

The policy initiatives presently used to influence environmentally friendly behaviour

are often used in isolation rather than as a coherent package. This is the case with
regulatory instruments (RIs), economic instruments (EIs) and persuasive instruments
(PIs). If used in isolation, these measures only appeal to one set of human
motivations: economic interests (in the case of tax and subsidy, for example); fear of
change (RIs) and Pls (moral and ethical motivations). Because these initiatives are
often used individually, in a piecemeal way, rather than simultaneously, they
frequently fall short of attaining their objectives (see Figure 3.9).

The cases reviewed in the preparation of this report show that in most instances RIs,
EIs and PIs are used in isolation (see Table 4.1) and without full comprehension or
appreciation of their potential when used jointly and simultaneously.

Figure 3.5 Three elements as the basis of environmental management instruments

(EMM).

EI

Economic
Moral & (Economic Instruments)
/Financial
Ethical interest s
Sense

Fear
PI
(Persuasive Instruments )

RI
(Regulato ry Instruments)

Figure 3.5 Three elements as the basis of environmental management instruments

(EMM).

Source: Amin, et al (2006).

29
The case for simultaneous use of environmental management measures (EMM)

Given the emphasis in this report on the simultaneous use of RIs, EIs and PIs, it is
important they be considered together as constituent elements of one framework.
Setting aside for the moment the problems in applying these three sets of
instruments, it is clear that, on the conceptual side, two drawbacks are depriving
societies of the potential gains from their use. The first is that policy makers have not
always recognized that the aim of these measures is to influence human behaviour.
As a result, they are not explicitly targeted to effect necessary behavioural change.
The second is that using one set of measures and setting aside the other two is a
partial approach that only addresses one of the basic motivations affecting
behaviour. In the absence of a simultaneous use of these instruments, this approach
will inevitably only be a partial one.

In short, it is necessary to understand that citizens’ motives are complex and

interdependent. Therefore, a policy strategy to effect behavioural change needs to
target each of the basic elements motivating human behaviour. This means that, for
policies to be comprehensive, the use of regulatory, economic and persuasive
measures needs to be effected simultaneously as part of a policy package.

One way to begin this process is to include all three sets of instruments as integral
parts of an EMM framework. Considering these elements together as EMM – instead
of referring to them separately as three individual categories of policy measures – will
reduce the chance of using them in isolation and will encourage a holistic approach
to changing behaviour.

Of the 54 cases prepared for this report (see Annex and case summaries in Chapter
4), in most instances only one of the three sets of the policy instruments were used.
As shown in Table 3.2, which is based on the cases reviewed, the use of regulatory
measures is dominant, followed by the cases in which only economic instruments
were used. Persuasive measures are used in only three cases. Only in two cases
were all three sets – RIs, EIs and PIs – used. These are to the cases involving the
switch from leaded to unleaded gas in Thailand (Case A27) and Vietnam (Case A30).
As a result, in both instances the policy goal of phasing out leaded gasoline was
achieved as planned (see Amin, et al 2006).

30
Table 3.2 Use of environmental management measures (EMM) to influence
travel behaviour in reviewed cases
EMM Key elements
Regulatory Vehicle Quota System
Measures controls the right of
vehicle ownership
through regulation
(predominantly) and
economic instruments
(supporting instruments)
Mandatory fuel economy
Greener vehicles
purchase
Vehicles emission
controls
Hybrid only parking
Traffic signal controls
Economic and Congestion charges
Financial
Measures
Area licensing schemes
Rebate/penalty according
to low/high emissions of
new car purchases
Increasing gasoline
prices
Suasive Car-free days and
Measures walking streets
(pedestrian streets)
programme
31
Adopting city/country and appeal of the
experience
Case A7: Singapore added quantity
measures to Initial reliance on Incentive
measures alone
Case A19: China’s regulatory system for
fuel economy improvements includes
incentives to lighter vehicle manufacturers:
Case A32: Japan’s vehicle emission
controls make use of its new green
purchasing
Case A31: Vehicle emissions control
technology – European Union (EU)
member countries
Case A36: Beijing combines standards,
regulations, technology and fiscal incentive
measures for emission controls
Case A37: Shanghai’s vehicle emission
control programme involves
implementation of EU-1 standards
Case A46: “Hybrid only”’ parking in Suffolk,
New York to promote the use of green
vehicles
Case A34: Traffic signal controls to reduce
vehicle CO2 emissions – Kawasaki City,
Japan
Case A2: Congestion charges make a
difference in London and Case 3: Traffic
congestion pricing, Seoul, Korea,
November 1996
Case A8: Singapore’s area licensing
system since 1975
Case A16: Bonus rebates in France for
buyers of new vehicles with low CO2
emissions
Case A29: Mexico’s common sense
economic strategy: increases the gasoline
price and makes CNG the least expensive
fuel
Case A20: Car-free days: Seoul provides
incentives with the public and private sector
joining hands
Case A22: Bangkok launches walking
street programmes
 Car sharing Case A21: Fukuoka Launches a multi-
stakeholder initiative in car sharing to
reduce CO2 emissions
Travel feedback Case A24: Sapporo’s travel feedback
programme programme
Combination Combination of three sets Case A30: Vietnam’s success in switching
of regulatory, economic from leaded to unleaded gasoline with
and persuasive simultaneous use of all three elements of
measures for changing EMM
leaded to unleaded
gasoline
Voluntary commitments Case A15: EU’s change from largely
to comprehensive voluntary commitments to a comprehensive
measures set of measures to reduce CO2 emissions
from private cars

Even in more sophisticated policy environments (i.e., the E U countries and

Singapore), the policy goals were not attained by using only one set of instruments,
e.g., the use of taxation measures alone for reducing car purchases in Singapore
(Case A7 ) and the use of only regulatory measures to reduce CO2 emissions in EU
countries (Case A15). In both of these cases, the initial policy measures were later
revised by adding regulatory measures in the case of Singapore and economic
measures in the case of the EU.

The cases studied illustrate, as noted previously, that policy measures need to be
targeted at changing behaviour and that using one set of measures while ignoring the
others is only a partial solution in that it only addresses one set of human
motivations. This is not always borne in mind by policy makers.

To avoid misleading impressions, it must be said that cases such as road pricing
(Case A2), quantity measures for reducing car purchases (Case A7), bonus rebates
to buyers of new vehicles with low CO2 emissions (Case A16), multi-stakeholder
initiatives in car sharing for to reduce CO2 emissions (Case A21) – all show positive
results. The point is that measures targeted at behavioural change are necessary to
sustain the positive changes and to encourage replication.

To sustain behavioural change, an education and awareness campaign, including

information dissemination – which has been given the name persuasive instruments
(PIs) – are key policy tools. While there is no substitute to creating environmentally
aware, concerned and committed citizens, it must be recognized that there is no easy
way to do this. Indeed, it may require years to establish these attitudes. Gradual and
step-by-step use of Pls or information instruments (IIs) may well be the most effective
way to proceed.

Education and systematic awareness campaigns are two conventional means of

creating environmentally aware citizens. An effective public awareness campaign
requires that some conditions be met. Establishing clear objectives and themes,
specific messages for specific target audiences, partnership with other stakeholders

32
and effective media strategies are required. Mainstreaming the awareness campaign
into a compatible existing long-term programme will ensure the continuous
implementation of the campaign. Moreover, the campaign should involve various
stakeholders having different levels of participation to encourage their participation in
the programme.

3.4 Inadequate understanding of human attitudes and behaviour

Strategies to motivate behavioural change have to take into account the motivations
for citizens to use private cars. The demand for private car use is inelastic (Gardner
and Abraham, 2007).

To design policies that will encourage citizens to switch from private cars, the
following points need to be considered:

• This inelastic demand, at least in part, is created by the automobile industry

through the extensive use of advertising. Considerable sums of money are
spent to induce automobile purchases;
• Policymakers do not use sufficient policy measures to counteract this inelastic
demand;
• Policymakers can counteract the inelastic demand by two sets of policy
measures: regulatory and persuasive measures;
• Preferences for public transport rather than automobile use increase as public
transport journey time decreases (Van Vugt, et al., 1996 cited in Gardner and
Abraham 2007);
• Despite measures to create disincentives for automobile use, studies in
different regions have found that the subsidy for the use of automobiles is
around US$4,000 per vehicle per year for roads, parking, health costs,
pollution costs and so on (Newman and Kenworthy, (1996). A study carried
out in 2000 estimates automobile subsidy costs in the U.S. as US$5,000 per
vehicle per year (Duany, Plater-zyberk and Speck 2000);
• Other experimental research has shown that introducing financial
disincentives can reduce private car use (Jacobson, Fuji and Garling, 2002
cited in Gardner and Abraham, 2007); and
• Other than incentives, travel mode choices correlate with the experience of
driving and perceived stress, excitement, uncertainty, safety, enjoyment and
autonomy (studies are cited on this by Gardner and Abraham, 2007).

Factors in travel mode choices favouring private cars journeys

Some of the following factors influence a preference for using light duty vehicles
(specifically, private cars):

• Private car driving is frequently idealized whereas public transport is

considered to be problematical;
• The potential health benefits in terms of physical exertion in using other than
private cars for functional journeys have been neglected; and

33
 • The costs of a single automobile journey are systematically underestimated
because they are conceived of primarily in terms of fuel costs.

Motives in sustaining automobile use

Once the choice is made to use private cars, certain other factors tend to sustain the
use of them. These are as follows:

• It (the private car) minimizes journey time;

• It minimizes physical and psychological effort;
• It creates a personal space; and
• It is considered to minimize financial expenditures (Gardner and Abraham,
2007).

In view of all of these elements involved in choice, it is unrealistic to pursue public

policies that will lead to a radical change in car use. That said, there is still a wide
scope to reduce car dependence if modal complementarity is promoted.

3.5 Non-utilization of the full potential of change and innovation in

fuel and vehicle technologies

Although it is unrealistic to expect that technology alone can solve the problem of
greenhouse gas emissions from the transport sector, it would be unfortunate if known
technological solutions were not fully utilized. The danger associated with too much
optimism centering on technological solutions is two-fold: one, essential behavioural
change may be bypassed; two, incentive measures required for promoting R&D may
be ignored or overused.

The latter can occur as a result of activities by industry lobbyists. Nevertheless, a

number of technical solutions are becoming feasible to make vehicles greener, fuel
cleaner and emissions control technology more effective. For example, of the five
approaches to reducing CO2 emissions in motor vehicles listed by Difiglio (2007),
four involve technology. Similarly, Chapman observes that “technological change will
play an increasing role in the reduction of greenhouse gas emissions from transport”
(Chapman, 2007, p.359).

Greener vehicles

Fuel cell cars, electric and/or hybrid cars and cars with good mileage per gallon are
now available (though some are only available in limited quantities). These
technologies, however, are still expensive. Given the substantial positive attributes of
these technologies, government support to improve their viability would be helpful.
This support can take the form of government subsidies for green and
environmentally friendly vehicles. If that support is forthcoming and with advances in
research and development, along with economies of scale, the price of green and
environmentally friendly vehicles will gradually decrease and will approach that of
conventional cars.

34
Cleaner fuel

The use of unleaded gasoline, compressed natural gas and liquefied petroleum gas
would also benefit from government subsidy. This has already occurred in some
cases. The objective should be to price these fuels as low as, or lower than,
conventional fuels. To gradually lower the government subsidy, a campaign the build
awareness about the positive impact of using cleaner, low-emission and carbon-
neutral fuels should be undertaken. This will be useful in attracting more citizens to
use them. One problem in this regard could arise from a wrong price signal, e.g., a
fall in the price of oil, which can impede the shift to alternative fuels.

Technology used and age of fleet

Because the performance of automobile engines deteriorates as a function of age,

old or obsolete automobile engine technologies generate higher emissions than
newer ones. The newer vehicle technology is characterized by greater mileage per
gallon with less or, in some cases, no emissions. These are characteristics of hybrid
vehicles and those powered by fuel cells. In addition, the use of catalytic converters,
long required in several developed countries, also lowers emissions and contributes
to better air quality.

Improved vehicle technology is one key to reducing air pollution caused by the
transportation sector. Some governments, such as those in France and the U.S.,
have recognized the positive impact of better engine technologies by offering rebates
to customers who turn in older, polluting cars for newer, cleaner models.

Poor maintenance of vehicles

Poor maintenance of new vehicles will lead to degradation of the vehicle's

performance, marked by greater fuel consumption and higher emissions. Periodic
maintenance to sustain the vehicle's performance is essential.

Use of improper fuel

Fuel is inherently a mobile source of pollution. The fuel type of vehicles, including
their price, is specified by the regulatory authorities. Use of the wrong fuels will
generate emissions of certain kinds of pollutants. Therefore, the role of regulatory
authorities in regulating the type and price of fuel is of importance in reducing air
pollution from mobile sources.

Vehicle emission controls

When vehicle engines are running, vehicles emit a range of air pollutants –
hydrocarbons, carbon monoxide and oxides of nitrogen during the combustion
process are emitted from the tail pipe into the atmosphere. Hydrocarbons are emitted
as a result of the vaporization of gasoline from the automobile’s crankcase. All of
these pollutants need to be controlled to render air quality cleaner.

35
Vehicle controls can be carried out using several strategies – imposing vehicular
emission standards, periodic vehicle inspections, installing catalytic converters,
setting fuel quality standards, chassis dynamometre smoke tests and on-the-road
emissions tests.

However, emissions control strategies will not be successful without sufficient

awareness by, and cooperation from, the public, who need to make judgements
concerning which strategy will be most appropriate to meet their obligations.
Moreover, citizen awareness has to be supplemented by forceful implementation of
control measures; weak implementation can serve as an excuse for drivers to escape
their obligations.

3.6 The role of and need for investment in a green transport

infrastructure

Construction of urban environmental infrastructures or urban green infrastructures –

whether involving water supply, drainage and sewage or transportation systems –
requires very large investments. Because of the capital cost barrier associated with
their construction, developing country cities often cannot benefit from the built-in
advantages these infrastructures provide, even though their unit costs diminish as
their size increases.

In developing countries, few serious attempts have been made to understand or

realize the advantages green infrastructures – the virtual circle of green jobs, more
public transit, fewer cars – can provide if capital could be mobilized from global
capital markets for the construction of urban environmental infrastructures, including
mass transit, walkways and bicycle ways.

Some cases (e.g., Beijing’s financing of investment for public transit that has created
disincentives for car use (Case 41) do show an understanding of these issues, but
most developing countries have yet to succeed in attracting the foreign direct
investment necessary for green projects.

3.7 Inability to attract necessary investment: need for cost recovery

Even if large investments in green technology and infrastructure are understood to be

beneficial, the potential for these investments remains largely unrealized, because of
a reluctance to allow for cost recovery. As noted previously, the latter is the result of
a two-fold problem: citizens’ unwillingness to pay and politicians’ unwillingness to
charge for fear of losing votes (Rammont and Amin, 2009).

This situation can be overcome if politicians’ take a proactive role, informing citizens
about the gains associated with green investments having cost recovery provisions.
The common concern is that the poor will be disadvantaged by cost recovery, e.g.,
higher bus fares, for example. But this can be effectively addressed by employing
cross-subsidization or by a discriminatory pricing policy that protects the interests of
poor and low-income public transport users.

36
In developing countries, the problems of poor public services in general and public
transit in particular persist, because the solutions mentioned above are not employed
to break the vicious circle of not providing for public transport – and by a failure to
replace this with a virtuous circle centered on improving transport facilities and
infrastructure. To make matters worse, the need for a public transport service is often
superseded by a costly (for most citizens) focus on the private good – individually
owned private cars. The widespread problem of limited public goods and services in
general and public transport in particular have led to private means of meeting basic
needs at a much higher cost (e.g., individual deep tube wells replacing public water
supply, private cars as an alternative to bus service, privately owned electricity
generators instead of public power supply), which, in turn, can encourage corruption,
since large sums of money are involved.

3.8 Involving stakeholders for better enforcement of public policy

The stakeholder concept has its roots in business management. Its significance lies
in the fact that “any stakeholder group or individual can affect or is affected by the
achievement of a firm’s objectives” (Freeman 1984 cited in Kitnuntaviwat 2009). The
value of this concept is increasingly appreciated and used in environmental
management, because the involvement of stakeholders has the potential to
overcome the problems inherent in regulatory enforcement, public policy
implementation and reducing costs.

This is possible because stakeholder participation makes all concerned receptive to

change and willing to cooperate. The three most important stakeholders – citizens,
government and industry in synergistic roles – can make a considerable difference in
improving urban air quality and reversing climate change. Yet the practice of
involving stakeholders is still seriously limited – often it does not go beyond tokenism.

Despite the increasing role of the private sector, including NGOs and others,
government still has the primary responsibility to formulate and implement policies,
particularly those concerning environmental protection and management in general
and urban planning and transportation systems in particular.

In addition to government, the automobile and fuel industries are also keys to
innovation and to applying green vehicle, clean fuel and emission control
technologies. The time has come to include industry as a partner in reducing
emissions and even in efforts to reduce automobile use. This is because industries’
profit-making strategies are undergoing change; auto companies increasingly realize
that cleaner vehicle and fuel technology innovations are now better guarantors to
ensure profits than the production of vehicles that consume inordinate amounts of
carbon fuels. This is an important reason to include industry in efforts to address
climate change. Concerted actions undertaken by citizens, government and industry
will have multiplier effects on emissions and automobile use reduction and will aid in
the struggle against global warming.

37
4. Lessons from Global Experiences in Reducing
Emissions from Private Cars

Numerous public policy and action programmes for reducing emissions from private
automobiles are in place globally. These fall principally into two categories:

1. reducing total transport demand; and

2. reducing emissions

To reduce the use of private cars, efforts mainly involve urban planning,
transportation planning and switching to low-emission travel (for passengers) such as
public/mass transit and emission-free travel (i.e., walking and cycling).

Emissions reductions based on technological innovations are taking place in the form
of cleaner fuels, greener vehicles and technical devices to reduce emissions.

The Appendix provides a summary of 54 cases prepared for this report recounting
global experiences leading to emissions reductions for light duty vehicles (private
car) use. This chapter contains an overview of the efforts undertaken.

4.1 Reducing total transport demand

Urban planning

 Vancouver adopts urban planning and densification strategy for

reducing car use: In 2007, Mayor Sam Sullivan called on the municipalities
of his cities, as well as senior levels of government, to open the debate on
increasing urban density as a way to reduce dependence on private car use
and thereby to limit global climate change. Addressing Vancouver’s private
citizens, business people and those in the development, housing, social
services and environmental communities, he said: “We should be talking
about how better urban planning and densification (emphasis added) of our
cities can significantly reduce our impact on the environment.” The
discussions that followed led to adoption of subsequent policy measures,
based on feedbacks from citizens and businesses, on very specific plans that
are enforceable and effective. Of the various reasons for ineffective urban
planning in developing countries, one is the near absence of practices such
as those undertaken in Vancouver (Case A1).

 Curitiba employs urban planning practices that integrate transport

planning: After a failed first plan for an urban transportation system planning
due to funding constraints for the large infrastructure required, the creation of
the Institute of Research and Urban Planning (IPPUC), along with strong
government leadership (the sustained commitment of mayors despite
successive changes in administration), led to successful integration of urban
and transportation planning. The master plan minimized urban sprawl by
introducing zoning laws and land use plans, created a transit-oriented city,
reduced traffic and involved transportation stakeholders to ensure effective

38
 planning. Some key planning strategies included restructuring the city’s radial
configuration into a linear model of expansion and creating an urban planning
agency responsible for developing, supervising and updating the master plan.
Key transportation strategies included building an extensive BRT network,
determining bus fares based on cross-subsidization and integrating public
transit with biking and walking. The successful integration was founded on the
mutually reinforcing use of the urban planning paradigm’s tools, such as
zoning laws and maximum accessibility (Case A9).

 Several European countries popularize pedestrian malls to enhance a city’s

image: Another popular programme in developed countries has been the
development of pedestrian malls that have been implemented in cities such
as Bonn, Cologne, Hamburg and Munich (Germany), Copenhagen
(Denmark), Norwich (UK) and Singapore. These programmes are
implemented through urban planning and development control instruments,
but also involve economic instruments and community education. The
significant advantages of pedestrian malls are in preserving central city
functions, facilitating access for shoppers, reducing noise and air-pollution
and improving the city's appearance. Pedestrian malls are creating a more
pedestrian-friendly environment that encourages people to walk or bike
instead of using motor vehicles for short distance travel within a particular
area of a city (Case A52).

Transport planning

 Singapore stands out among Asian countries in integration of transport

and land use planning: The effectiveness of Singapore's land transport
policies lies in the effective implementation and workability of the policies. The
land transport policies of Singapore aim to deliver an effective land transport
network that is integrated, efficient, cost-effective and has a sustainable plan.
The focus is to encourage commuters to choose the most appropriate mode
of transport. To achieve these objectives, necessary investments have been
made in road infrastructure, public transport and traffic management
schemes. Road user charges and fiscal measures on car ownership have
also been implemented, allowing financial support and cost recovery to be
built into the system. Consequently, the reputation of Singapore as a country
which relies on command and control (CAC) measures is somewhat
misleading. On a closer look, it becomes clear that Singapore uses all three
major sets of policy instruments: regulatory instruments, such as a vehicle
quota system; economic instruments, such as electronic road pricing; and
education of vehicle owners, drivers and commuters (Case A50).

 Beijing’s integrated road transport system development: T h e

development of the transport system in Beijing focused on reducing
continuously worsening traffic conditions and improving the commuting
situation. The integration involved concerted action through coordination
among various government agencies. The objectives have been to improve
urban transport efficiency, promote socio-economic development in the city,

39
 make land use development more efficient, create a good transport
environment and combine parking fees with transport management. In
practice, three major plans of action have included (a) an extension of the
road infrastructure that included ring roads, several throughway corridors,
distributing backbone roads, sub-arterial roads and spur tracks; (b) improving
the parking management system by increasing and differentiating parking
fees for different times and regions; and (c) establishing an intelligent
transportation system, including a transportation control centre, a command
and deployment system, a transportation monitoring system, a signal control
system, a transportation induction system and a global positioning system
(GPS) for traffic police vehicles. A “122” call-the-police system for traffic
accidents and an automatic monitoring system for traffic violations were also
introduced. These efforts have reduced traffic flow in central urban areas,
reduced congestion and increased traffic management efficiency. The higher
parking fees have also increased revenues (Case A51).

Car use reduction

 Singapore adds quantity measures to initial reliance on incentive

measures alone: Displaying foresight, the leaders of Singapore imposed
demand management policies – such as usage and ownership measures to
avoid the effects of vehicle growth in a land-scarce city state – as early as
1974. When the initial incentive measures – including vehicle ownership
measures, taxes, registration fees and excise duties – proved inadequate in
restricting growth at a sustainable pace given the country’s road
infrastructure, Singapore, in 1990, introduced a quantity measure – the
vehicle quota system (VQS), along with a supporting mechanism, the
Certificate of Entitlements (CoE) – for which each potential vehicle owner had
to bid under specified categories of vehicles. The VQS/COE success (in
reducing vehicle growth to three per cent per year) depended on continuous
assessment and refinement, technical feasibility studies, economic
affordability estimates and a transparent and impartial bidding process.
Meanwhile, the existence of a relatively inexpensive and efficient public
transport system resulted in public acceptance of restrictions (Case A7).

 Congestion charge makes a difference in London: Road pricing to

address congestion was pioneered by Singapore as early as 1975. Since
then, technological advances enabling electronic road pricing (ERP) and
Mayor Ken Livingstone’s determined implementation of congestion charges in
London have popularized these measures. The charges were applied to a
clearly defined zone of central London and encouraged car users to choose
other forms of transport. Benefits experienced by the city included: traffic
entering the zone decreased by 21 per cent, cycling increased by 43 per cent,
accidents and key traffic pollutants were reduced and public transport
accommodated many displaced users of private cars. Following the success
of the scheme, public and other stakeholders were consulted on
improvements, and charges were styled as CO2 charges by encouraging

40
 drivers to travel with vehicles emitting lower levels of CO2 and discouraging
the opposite scenario. The congestion charging zone was also extended
(Case A2).

 South Korea experiences some difficulty in countrywide extension of

congestion pricing: With a policy of combining road railway networks,
vehicle-related taxation, congestion pricing, parking fees and private car-use
restraints, Seoul experienced positive results. By enacting a congestion toll
(and collection ordinance) on private vehicles carrying only one or two
persons in the central business district, the city authorities learned that (i) it
was possible to influence transport demand and choice by levying a
congestion charge and (ii) when average traffic speed is increased because
of a reduction in congestion and toll booths are used for charge collection,
there is no net increase in travel time. Through selective road pricing on a few
roads, South Korean authorities were able to reduce traffic on the entire road
network. The lessening of congestion reduced fuel consumption and
emissions from hydrocarbons, carbon monoxide and carbon dioxide.
However, in spite of employing several complementary measures, such as
raising awareness, capacity building programmes and spreading information
to ensure public acceptance, the extension of the policy to other cities has
met public opposition, because citizens consider congestion pricing to be
double taxation (Case A3).

 Bonus rebates in France for buyers of new vehicles with low CO2
emissions: France introduced consumer-directed incentive measures in the
form of bonus rebates for buyers of new vehicles with low CO2 emissions and
ecopastille (penalties) for buyers of high-emission vehicles. The bonus level
depends on the level of emissions, with a maximum allowable of 130g of CO2
per square kilometre. The agency of environment and energy management
provides information for buyers about the programme. The bonus for vehicles
emitting under 100 grams is five times more than the old maximum, and there
is a super bonus for scrapping old vehicles at the time when new vehicles are
purchased. This policy succeeded in integrating CO2-reducing incentive
measures with car registration procedures (Case A16).

 Singapore’s area licensing system since 1975: Singapore introduced the

Area Licensing System (ALS) in 1975 which, to reduce congestion, included a
cordon pricing system designating the central business district (CBD) as a
restricted zone for the purpose of road pricing. The scheme required
advanced purchase of a licence to enter the zone during morning peak hours.
At the 22 entry posts that isolated the zone, verification took place and non-
compliance resulted in fines via mail. Public parking charges were raised and
additional surcharges levied on private parking operators to discourage car
use. ALS implementation has played an important role (i) in keeping the
inbound traffic volume in the CBD less than it was before implementation
three decades ago; and (ii) in maintaining the environmental impact from
transport at acceptable limits (Case A8).

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 Sapporo’s travel feedback programme: After trying several travel demand
management measures without substantially reducing traffic, the Hokkaido
Development Engineering Centre developed a (TFP) Travel Feedback
Programme in Sapporo. This was an example of internalizing environmental
costs through local education. The programme included regular meetings with
local communities based on family tracking of vehicle use and feedback in
classroom lectures about the levels of CO2 emissions recorded in diaries. The
TFP model resulted in significant behavioural change with possible long-term
effects, given the availability of alternative modes of transport (Case A 24).

 Car-free days: Seoul uses incentives with the public and private sectors
joining hands: Seoul enacted a “Weekly No-Driving-Day Programme”,
incorporating incentive measures for the public and private sectors, rather
than banning cars on car-free days as many cities have done. The
programme had a 30 per cent participant rate, resulted in a 12 per cent
reduction of emissions, a 7 per cent decrease in traffic and an increase of 13
per cent in operating speeds. It also resulted in fuel cost savings of US$600
million and reduced particulate matter PM10 by 3.5 mg/m. Proposed by a
NGO, the programme involved citizens voluntarily choosing one weekday as
a no driving day, with participants receiving a set of information, including an
e-tag and stickers. The NGO campaign was enhanced by incentive measures
that (i) resulted in a 1-6 per cent discount on gas prices and (ii) a ten per cent
discount on car maintenance costs and free or discounted car washes. The
public sector benefited from a five per cent reduction on auto-taxes, a 50 per
cent discount on congestion charges and a 10-20 per cent discount on public
parking fees. An innovative transport (IT), which registered the individual
choice of a car-free day was also helpful (Case A20).

 Fukuoka launches a multi-stakeholder initiative in car sharing for

reducing CO2 emissions: The creation of new markets is an important policy
instrument, and this occurred in a multi-stakeholder initiative launched for car
sharing in Fukuoka city on Kyushu Island, Japan. A car sharing initiative
became a Car Sharing Network (CSN) or NGO. It was created by the joint
action of the West Japan Ecology Network (NGO), the city authority and an
electric power company. The CSN succeeded in attracting frequent media
attention from newspapers, local television stations, news magazines, etc. It
started buying power generated by wind, which is reportedly the first example
of this in any car sharing venture. Social acceptance is essential for such a
system which, in turn, is enhanced by a good mix of vehicles having lower
emissions, flexibility in driving range and efficient car passenger capacity. The
CSN established effective partnerships with the local community to decide on
participation in the car sharing rides. For those who generally drive short
distances, there is a significant economic benefit to car sharing: for example,
almost 30,000 yen per month can be saved by switching from an individual
car to the HyperMini used in the CSN. Moreover, a Green Power Certification
system was employed as an incentive to encourage corporate and other
customers to use renewable energy as a voluntary measure to improve
energy conservation and environmental protection (Case A21).

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 Public transit

 Bangalore overcomes perennial losses in running its bus service: Using a

combination of fleet modernization, augmentation of service, revenue
mobilization, fare policy and cost-minimization measures, Bangalore created a
programme relying on regulatory instruments to counter the perennial problem of
incurring substantial losses in providing bus service. The Bangalore Transport
Service was reformed and restructured by creating the Bangalore Metropolitan
Transport Corporation (BMTC). Along with this restructuring, BMTC undertook
fleet modernization to augment the service, created revenue mobilization
measures, provided effective fare policies and introduced cost-minimization
measures. The programme has contributed to the reduction of private vehicle use
and the improvement of air quality (Case A13).

 Ann Arbor, Michigan, USA bus pass programme reduces car use by ten per
cent: The high price of car parking space, combined with significant growth in
traffic congestion in the downtown area, led the city of Ann Arbor to establish a
bus pass programme that resulted in a 10 per cent reduction in downtown car
use, US$200,000 of annual savings in fuel costs and a 734 ton reduction of
greenhouse gas emissions per year. The programme, termed get Downtown,
involved municipal, government and environmental institutional partners for its
financing and development. During the first two years, it offered free unlimited-
use bus passes, called go!passes, to all downtown employees. Later, the passes
were offered to downtown businesses at cost, and the remaining cost per pass
was subsidized by the Downtown Development Authority. A complementary
regulation that requires employers to provide all full-time employees with
go!passes is also being implemented. Moreover, the Ann Arbor Transportation
Authority (AATA) began the process of converting its entire bus fleet to hybrid
electric technology when it introduced its first 15 hybrid electric buses in October
2007 and an additional five in March 2008. The use of hybrid electric buses
strengthens AATA’s commitment to protecting the environment by consuming
less fuel and emitting fewer pollutants (Case A38).

 Bangkok’s van transit service works as ride sharing contributes to

reducing traffic congestion: The van transit system of the Bangkok
Metropolitan Region, provided by private operators and supported by customer
fares with no government funding, created a new means of transport for Bangkok
and has proved to be efficient and effective in terms of cost and energy savings.
Initially begun to meet the needs of travel between the centre and suburban
areas, as well as to those of highly congested areas, it became so popular that
the number of vans increased from a few hundred to around 8,300 in nine years.
In 2004, approximately 800,000 people used the van service per day. The system
has played an important role in promoting ride sharing in congested areas and
has attracted a large number of private operators to help reduce traffic
congestion (Case A39).

43
 Institutional, technological and financing innovations and Beijing’s MRTS:
Beijing’s integrated public bus, subway and light railway systems as it focused on
creating a Mass Rapid Transit System (MRTS) for hosting the 2008 Olympics.
Key features of the programme were international bidding for construction, public
involvement in price-setting and the introduction of private sector competition in
the provision of public transport. Institutional and technological innovation and
innovative financing offset the problems caused by high construction costs and
substantial investments. The impacts of the programme included improved air
quality (from gradual reduction of NOx and CO in spite of a gradual increase in
vehicles), reduced downtown traffic congestion, reduced oil consumption and
economic development along the MRTS line (Case A40).

 Jakarta uses BRT to reduce the use of private cars: Chronic public
transportation problems spurred action that led to the creation of TransJakarta,
Asia’s largest bus rapid transit system (BRT) and one of the first in the region.
Before TransJakarta came into operation, public transport in Jakarta was highly
unsatisfactory with no orientation to comfortably serve users. An old fleet, along
with the questionable attitude of public bus drivers, as well as persistently
ubiquitous congestion, triggered an increase in private car users and a constantly
degrading urban air quality. A crucial decision of Jakarta’s Governor Sutiyoso,
amid strong resistance from private car users, was behind the success of the
BRT’s busway development. Analysts consider the BRT to be a good candidate
for adoption by developing countries, due to its lower costs in comparison with
similar mass transit systems. Other than the command and control (CAC)
measures employed in establishing the system, complementary instruments used
included financing for improved infrastructure, fines and penalties for
vandalization, increased bus capacity and numbers, more compressed natural
gas (CNG) stations and improved bus ride and station facilities and feeder
systems. Providing special buses for women also contributed to TransJakarta’s
image. Early evidence showed that 14 per cent of passengers shifted from
private cars to the system. This may be an underestimate since, in the absence
of BRT, more residents would likely have purchased cars. Expected impacts
include improved equity in transportation services, reduced traffic, improved air
quality, reduced travel time and increased life spans (Case A42).

 Bogota’s BRT operation funded entirely by fare collection: Bogota opted for
bus rapid transit (BRT) due to its cost effectiveness in comparison with a railway
system. BRT is managed by TransMilenio, a public-private partnership. Design,
planning and investment for its infrastructure was carried out by public
institutions, such as the mayor’s office, while operations are overseen by private
entities, such as trunk line operators and fare-collection concessionary feeder
bus operators. Other planning, road and transportation agencies are key
partners. The system incorporates a sustainable private participation plan.
Although it is bus-based, the system’s operation is similar to that of a rail-based
system. It is funded entirely by fare collection and no subsidies are provided. A
single flat-fare pricing system and organizational arrangements supported by a
ticketing system, among others, are the instruments that contributed to the
success of the BRT. It is reported that benefits have included a reduction of 93

44
 per cent fatalities from traffic accidents, 40 per cent of some air pollutants and 32
per cent of passenger travel time (Kyoon-Lee, Myung 2003) (Case A43).

 Dar es Salam receives crucial ODA support for its transition to BRT system:
While Daladalas (12-seater small buses) served a duel role in Dar es Salam’s
transition from public to private transport service, proliferation of their number has
increased traffic congestion which, in turn, has made Daladalas slow and less
attractive. The operators did not make any reinvestment to improve the service
because of low profitability. Consequently, as is the case with most bus services
in developing countries, Daladala service is based on “second-hand vehicles that
are overcrowded, unsafe, uncomfortable and fuel inefficient”. In these
circumstances and with the accompanying menace of increasing carbon
emissions alone from the transport sector, Dar es Salam’s transport authorities
decided to opt for a BRT system. The United Nations Environment Programme
(UNEP) and the Institute for Transportation and Development Policy (ITDP) have
been supporting the city in pilot demonstrations with a 10 km BRT trunk line and
an additional 100 km of feeder lines to the BRT system. The decision to opt for
BRT has been timely. Because the Daladala’s service has become obsolete, the
emergence of BRT was a logical choice. In its absence, citizens’ propensity to
individually own cars would continue to increase. The vanguard role of ODA
through UNEP and ITDP has been pivotal in providing technical assistance for
developing the project and exploring funding support for its implementation (Case
A 53).

 Beijing finances investment for public transit and creates disincentives for
car use: Beijing’s strategy of substituting for private travel involved building mass
transit (intra-city transport and rail transport systems) and creating disincentives
to car use by increasing parking fees, especially in central areas. The parking fee
increase had an impact on car use. Diverse sources of funding – including
domestic loans, foreign investment bonds, revenue from the local market,
earmarked taxes, fees based on a beneficiary-pay system and a policy of
requiring residential developers to improve the transport infrastructure in the
vicinity of their developing areas – increased financial resources and reduced
costs. Another significant financing policy involved allowing the private sector and
foreign enterprises to invest in the transport infrastructure, formerly a monopoly of
the public sector (Case A12).

Free/low emissions travel modes

 An encouraging bikeway programme in a Philippine city: The success of the

Marikina Bikeways Network, relying purely on planning and persuasive
measures, created a so-called win-win programme for environmental
improvement by settling an on-going issue between illegal settlers and the city
authority. The authority considered that illegal settlers were degrading the city’s
image and creating environmental problems, which, in fact, was due to the
immigrants’ powerlessness to receive appropriate services from the authority,

45
 e.g., electricity, water and waste collection. Mayor Fernando, after relocation of
the illegal settlers satisfactorily and conversion of the area into a pedestrian-
friendly environment, then created another useful project. This was a river
rehabilitation programme with ten kilometres of jogging bikeways built along the
Marikina River, involving the recovery of 220 hectares of public space formerly
occupied by the settlers. This was then developed into theme parks and
playgrounds. Factors that contributed to the success included the city's
integration of the bikeway construction with its regular road improvements or
widenings; bicycle safety education; information, dissemination and advocacy
campaigns; continuing recovery of all public places to increase mobility and
green spaces; and a Global Environmental Facility (GEF) grant (Case A4).

 Bangkok launches a walking street programme: The walking street

programme in Silom Road, Bangkok is an example of how one city tried to
promote a pedestrian-friendly environment. To counter the notorious image of
Bangkok as a pedestrian-unfriendly city, a pilot programme in a heavily
congested street was initiated. The concept has since been extended to other
Thai cities – Pattaya, Nakhonratchasima, Phuket, Nakhonpratom and Chiang
Mai. The objective of the programme was to improve urban air quality by setting
aside part of the city as a walking street. There was no particular instrument used
in the programme except a campaign to appeal to citizens’ ethical and moral
sense. Unfortunately, however, community education alone could not sustain the
programme over the long-term due to the lack of strong commitment from the
authorities and inadequate traffic planning. Nonetheless, citizens realized that
without cars the local urban air quality improved – a significant lesson learned
from this case. Despite its being discontinued, the walking street programme
helped to improve the quality of life and, during its implementation, increased the
earnings of communities located along and near the Silom Road. The case
reveals that a well-designed traffic plan must be adopted before closing any
street for public use. In addition, the authorities need to ensure that there is the
requisite political will to support these programmes (Case A 22).

 An Africa-wide initiative for cycling out of poverty: This initiative seeks to

“make a world of difference in Africa with a bicycle”. Since its initiation in 2006, it
has incorporated partner organizations in six African countries – Uganda, Kenya,
Rwanda, Ghana, Togo and Burkina Faso – and has launched 17 projects
centered on using the bicycle as a means of coming out of poverty. Although no
source other than the organization’s own could be traced for evaluating this
initiative, it appears that several theoretically sound and practically feasible ideas
have made this initiative spread to several African countries. These ideas include
fostering the positive aspects of the poverty-environment nexus; micro-finance;
and utilization of underemployed labour/entrepreneurs, particularly women. The
project shows that even small support from a developed country can bring
tangible changes to promote an emissions-free transportation mode. In this
instance, bicycle use has utilized the informal labour sector and enterprises in
African developing countries (Case A 54).

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4.2 Reducing emissions

Cleaner fuel

 Mexico increases the gasoline price and makes CNG the least expensive
fuel: Mexico City, with funding from the World Bank for the achievement of
Millenium Development Goals (MDGs), embarked on a comprehensive transport
air quality management project using demand and supply measures. On the
demand side, gas prices were increased to make unleaded gasoline competitive,
while on the supply side, vehicles were retrofitted to run on compressed natural
gas (CNG), and existing taxis were replaced by more efficient models that ran on
clean fuels. CNG was made the least expensive of all the available fuels, and
clean fuels were generally encouraged. With fine-tuning over time, the project
improved air quality and had a favourable impact on emissions (Case A29).

 Shift from leaded to unleaded gasoline, Thailand: The shift from leaded to
unleaded gasoline in Thailand demonstrated the comprehensive use of three
environmental management measures. The government introduced regulatory
measures to reduce the lead and sulphur dioxide content of fuels over a period of
time. In 1993, unleaded gasoline was introduced, and in 1996 all types of leaded
gasoline were completely phased out. From 1993 to 1999, the sulphur content of
diesel was also significantly reduced. Suasive measures were utilized by making
information available in both the print and TV media. This public awareness
campaign led people to accept the use of unleaded gasoline. When unleaded
gasoline was introduced, economic measures were put in place to make the price
of it favourable compared to leaded gasoline, which was still available during the
transition period. This was done by increasing the tax on leaded gasoline, an
example of internalizing the cost of pollution. The combination of regulatory,
economic and persuasive measures led to a relatively quick switch in use from
leaded to unleaded gasoline, particularly in Bangkok (Case A27).

 Vietnam simultaneously used all three sets of EMM to switch from leaded to
unleaded gasoline: Vietnam’s quick success in switching from leaded to
unleaded gasoline can be traced back to the interplay of regulatory, persuasive
and economic measures. After an earlier failed attempt to eliminate leaded gas
through transport-related regulation, the Canadian International Development
Agency (CIDA) sponsored a workshop focused on alleviating fears about the
possible high cost of switching to unleaded fuel for the large number of vehicles
that would be inoperative when this fuel was introduced. The workshop was
attended by members of the media and this, along with follow-up activities,
changed the public’s view so that, in 2000, the prime minister issued a directive
for the switch to unleaded gasoline. Economic measures to follow up the
regulation involved a subsidy for importing unleaded gasoline and taxes on
imports of octane used by domestic fuel refineries. Suasive measures included
dissemination of information prior to the fuel switch (Case A30).

47
 China adopts Shanghai’s alternative fuel vehicles: Official documents and
presentations make it clear that China has an interest in learning from other
countries. This is reflected in Shanghai’s use of alternative fuel vehicles (AFVs).
The Shanghai government organized a programme to study the use of liquefied
petroleum gas (LPG) and compressed natural gas (CNG) in other countries
before adopting them for use in Shanghai. By 2000, 70 LPG service stations had
been built and around 1000 existing buses were reconstructed as LPG or CNG
vehicles. The city aims to rebuild all public buses and taxis in the same way. The
success of the programme was due largely to the following: learning from other
countries’ experience; the use of R&D for AFV development; the use of incentive
measures (investments, loans, taxes, pollution fees) to promote AFVs;
establishing organizational arrangements; and using regulatory measures for
safety and standards. The guidelines for AFV development and the incentive
measures used for their promotion were carefully prepared “according to the
rules of a market economy with no monopoly or vicious competition” (Yu and
Jiang, 2003, p. 2) (Case A11).

 Delhi CNG programme follows a Supreme Court mandate: A writ petition filed
in 1985 by environmentalists challenging the inaction of the government of New
Delhi in combatting the causes and impacts of air pollution led to the Supreme
Court of India handing down its landmark decision requiring a massive air
pollution control programme for the city. The Delhi CNG programme is an
example of a successful transformation to CNG in phases. While there is
controversy about the extent of improvement in Delhi’s air quality, the peak levels
of various air pollutants have clearly come down. The average levels have also
stabilized despite an increase of more than 200,000 vehicles in the city. Mumbai
also pressed ahead with a programme to use CNG vehicles (Parikh 2002).
Initially, the deadline for CNG buses in Delhi was met by public buses, not private
operators. This led to the court ordering fines for diesel bus operators which, in
turn, stimulated a significant increase in private CNG buses and a demand for
private bus conversions to CNG use. Since then, the development of the CNG
refueling infrastructure has gained momentum. The penalty provisions, a better
CNG refueling infrastructure and associated safety measures all proved to be key
to the breakthrough in New Delhi. The city found that to effect a large-scale
change in the CNG vehicle fleet was possible within a short time if incentive
measures, sending consistent messages, building public opinion and acting
simultaneously on vehicle conversion and infrastructure improvements were used
(Case A14).

 Calgary makes its wind-powered commuter train a reality by involving

private companies: The City of Calgary’s “Ride the Wind” initiative, using wind
to power the city’s light rail mass transit (LRT), took off after the initial electric
powering (from former coal and natural gas fuel) of the system began to work.
Vision Quest, a power generation and wholesale marketing company, entered
into a contract for green energy with Enmax, which, in turn, entered into an
agreement with City Transit to deliver wind power to the LRT. All emission
reduction credits were transferred to City Transit via Enmax, and ten new wind
turbines were financed, constructed, owned and operated by Vision Quest.

48
 Before the switch to wind power, the Calgary C-Train's energy supply resulted in
around 20,000 tonnes of greenhouse gases and other air pollution emissions
being emitted every year, less than 1/10 of the pollution that would have resulted
if all C-Train passengers had driven in their own cars. Under the Ride the Wind
programme, these emissions have been reduced to practically zero. This makes
the C-train one of the most environmentally friendly forms of transportation. The
project also contributed considerably to solving traffic problems. There are a total
of 116 light rail vehicles in the system, and each day riders board the C-Train
189,000 times. If each commuter had travelled alone in his or her car instead of
on the C-Train, the daily mileage would have amounted to 1.2 million kilometres
(Case A25).

 China incorporates a fuel cell initiative in its high technology development

programme: China’s renewable energy law came into effect on January 1, 2006.
Some measures have been introduced to apply the law, including a priority given
to public transportation development in urban and renewable energy
development programmes. Additionally, fuel-cell systems, fuel-cell sedans and
city buses were listed as “High Technology Developments” in its five-year plan
(2001-2005), and the Beijing Hydrogen Refueling Station for the Demonstration
for Fuel Cell Bus Commercialization in China was set up at Beijing’s Hydrogen
Park (Case A6).

Greener vehicles

 Hybrid technology cars and trains

_ Japan’s hybrid technology cars: Japan is pioneering the use of diesel

electric hybrid trains for commercial service after its success with hybrid
cars. In a hybrid train, the batteries are recharged when the train slows
down. After the power is switched off, the motors continue to turn for a
time, and the energy — wasted in a non-hybrid train — is used to
recharge the batteries. The Japanese policymakers extended the hybrid
concept to light duty vehicles. Several automakers have begun to produce
hybrid vehicles, because of their greater economy of fuel use and lower
emissions compared to conventional internal combustion engine vehicles
(ICEVs). The obvious advantages of using hybrid cars are that they save
gasoline and emit lower toxic emissions in comparison with conventional
gasoline-powered cars. In some countries, users can also enjoy tax
benefits from using hybrids. Another advantage is the improved
environmental safety of the electric batteries used in hybrid vehicles.

_ Toyota Prius: The Toyota Prius is a hybrid electric mid-sized car

developed and manufactured by the Toyota Motor Corporation. The Prius
first went on sale in Japan in 1997, making it the first mass-produced
hybrid vehicle. It was subsequently introduced worldwide in 2001. The
Prius is sold in more than 40 countries, with its largest markets being
those of Japan and North America. According to the United States

49
 Environmental Protection Agency (EPA), the 2008 Prius was the most
fuel-efficient car sold in the U.S. The UK Department for Transport says
the Prius is tied with the Mini Cooper D as the third least CO2-emitting
vehicle in the UK.

_ Honda Insight: The Honda Insight, a two-seater, uses hybrid engine

technology, optimized aerodynamics and a lightweight aluminum structure
to maximize fuel efficiency and minimize emissions. Introduced in 1999,
the Insight was the first mass-produced hybrid automobile sold in the
United States, achieving 70 miles per U.S. gallon. Honda sold 2,000
Insights in 2005. The company is to introduce a new small hybrid-specific
car – a hybrid version of a Honda Fit or similar – and to discontinue
production of the Insight.

_ Kenworth hybrid truck: Kenworth Truck Company introduced a hybrid-

electric truck in March 2007 called the Kenworth T270 Class 6. “During
steady driving conditions above 30 mph, the T270 hybrid operates like a
standard diesel vehicle with all power coming from the engine. Below 30
mph, it uses a combination of diesel and electricity. The system
automatically switches between the two modes of operation”, reports
Kenworth’s chief engineer. Since 2007, Kenworth has produced medium-
duty hybrid trucks for municipal fleets and utility companies and has had
full-scale production from 2008. The goal for the T270 hybrid was to
improve fuel economy by 30 per cent in start-and-stop applications, such
as those used by utility trucks and pick-up and delivery vehicles. At the
end of August 2009, the company came out with another innovation: the
Kenworth T470, which is available with extra horsepower. The company
says that buyers of this model can now purchase the truck with the 9-litre
Cummins ISL engine with 365 horsepower and 1,250 pounds-feet of
torque. Previously, the truck was available with only the Cummins ISL
with 345 horsepower and 1,150 pounds-feet of torque. Fuel economy
from the T470 is higher than that of the T270 (Case A45).

 Tata’s Nano Car: concern about the trade-off between the “people’s car”
image and energy efficiency: Tata, India’s largest automaker, introduced its
new “energy efficient” vehicle, the “Nano Car”, in 2008. The vehicle’s high level of
fuel efficiency also ensures that it has low carbon dioxide emissions, thereby
providing the twin benefits of an affordable transportation solution with a low
carbon footprint. The “people’s car” image comes from its price of US$2,500. If
the Nano Car is a success, however, this implies that millions more new cars will
be on Indian roads in the years ahead. Such a massive increase in number of
cars is likely to offset per vehicle fuel efficiency. Consequently, the concern is
about total CO2 emissions from the expected mass-scale use of the Nano (Case
A44).

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 “Hybrid only”’ parking in Suffolk, New York, USA to promote the use of
green vehicles: The New York state county of Suffolk, in seeking to provide
incentives for efficient transportation choices and to promote fuel conservation,
introduced preferential parking for hybrids. The county announced legislation to
designate “hybrid only spaces” in county office buildings and county-owned
facilities. Suffolk’s legislator, Wayne Horsley, initiated this process, termed The
Green Spaces Initiative. In doing so, he enhanced the already existing parking
spots for fuel-efficient cars operated by private businesses and followed the
adoption of similar parking programmes in other U.S. cities (e.g., Los Angeles).
Although this is only an indirect measure to promote green vehicle use, it does
suggest that manufacturing green vehicles is expected to increase (Case A46).

 Beijing’s programme to transform vehicles for alternative fuel use: In 1998,

the Beijing government conceded that air pollution had resulted in significant
environmental degradation, and it undertook a project to introduce alternative
low-emission fuel vehicles. Beginning with the greatest polluters — buses and
taxis — the government embarked on a programme of conversion into alternative
fuel vehicles (AFVs). As a result of the programme, the number of natural gas
vehicles (GNV’s) and Liquefied Petroleum Gas (LPG) buses has been steadily
rising. Thousands of taxis have been modified to become bi-fuel cars. To achieve
its targets, the authorities emphasized the construction of CNG and LPG stations,
development of single fuel (LPG) vehicles (mainly taxis) and the development of
new CNG buses. Although in recent years the total number of vehicles has
increased rapidly in Beijing, the concentration of NOx and CO has not
correspondingly risen. In fact, the concentration of these pollutants dropped by
16.4 per cent and 21.2 per cent, respectively, in the three years since the start of
the programme (Case A48).

 Two-stroke to four-stroke motorcycles in Thailand: To encourage the use of

the more fuel-efficient four-stroke motorcycles in Thailand, particularly in
Bangkok, the city administration, the Bangkok Metropolitan Administration (BMA),
adopted emission standards accompanied by institutional arrangements,
stakeholders’ participation and awareness/capacity-building programmes. The
shift from two- to four-stroke engine motorcycles reduced the rate of major urban
air pollutants. As one consequence, in recent years there has been a sharp rise
in four-stroke motorcycles sales in Thailand. Strict enforcement of the standards
has made this regulatory measure successful (Case A47).

 Kathmandu introduces electric three-wheelers to replace diesel vehicles:

Since 1999 in the Kathmandu Valley, the domination of the streets by heavily
polluting diesel-based three-wheelers has started to come down with the
introduction of zero-emissions electric three-wheelers. This was preceded by
unprecedented social pressure culminating in policy and technological debates
and filling the policy and innovation gaps between prohibition and practice.
Although public awareness and pressure from NGOs existed prior to the street
protests and blockades of 1999 (in which local artist groups, clubs and activists
took part), the government’s 1992 ban of the polluting but popular three-wheelers
had remained largely ineffective due to the absence of incentives for owners to

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 abandon their vehicles. In 1999, following the movement’s peak and significant
media coverage, incentives for owners were incorporated into the national budget
in the form of a 75 per cent customs holiday on the import of 12- to 14-seater
public transportation vehicles. Meanwhile, the industry made some effort to use
local technology to replace expensive imported technology, thereby reducing the
cost of batteries. The Kathmandu Metropolitan’s earlier initiative in partnering with
the US-based NGO, the Global Resources Institute, resulted in a demonstration
project, which convinced the private sector, the public and the government of the
plausibility of a new industry. The support of the Danish Agency for Development
Assistance (DANIDA) and the United States Agency for International
Development (USAID-US-AEP) played a vanguard role in enabling national
policy makers to take action. This case has shown the value of civil society
initiatives, demonstration projects and integrating different stakeholders’ needs
and capacities to create the necessary space and momentum to bring about
change (Case A49).

 Electric trolleybus system in Quito, Ecuador made a reality by emphasizing

financing and cost recovery: The electric trolleybus system was chosen in Quito,
Ecuador as the most cost-efficient and sustainable transport solution compared
with other alternatives such as metro and light rail train (LRT). The system was
chosen to address the problem of increasing population demand on public
transport and the consequent environmental impacts. The effective roles of the
Municipality of the Metropolitan District of Quito, Operating Unit of the Trolleybus
(UOST), the Municipal Transportation Bus Company and the Transportation
Planning and Management Unit were key to the success of the system. This
project would not have materialized without financial assistance from the Spanish
Development Fund and the Spanish Banco de Bilbao Vyzcaya. The operation and
maintenance costs were entirely covered by fares endorsed by the municipality
(Case A26).

Vehicle emissions control

 EU switches from largely voluntary commitments to a comprehensive set of

measures for reducing CO2 emissions from cars: The EU’s revised strategies
for cutting CO2 emissions involved a shift from largely voluntary commitments –
awareness raising among consumers and promotion of fuel-efficient cars through
fiscal measures – to a comprehensive set of measures to influence both the
supply and demand sides of the EU market for cars and vans. The increase in
the number of new cars on the road resulted in only limited progress towards the
target of 2012, leading to new priorities focused on reducing car use and/or
encouraging the purchase of new cars. The principal measures, announced in
2007, include (i) a legislative framework allowing the automobile industry
sufficient lead time to adjust to regulatory change; (ii) the imposition of a target of
120g CO2/km average emissions by 2012, based on improved motor technology
and efficiency improvements for car components with the highest impact on fuel
consumption (i.e. tyres, air conditioning) and a gradual reduction in the carbon
content of road fuels through greater use of bio-fuels; (iii) more stringent emission

52
 targets for vans; (iv) promotion of fuel-efficient vehicles through an amendment to
the automobile labeling directive to make it more effective and by encouraging
member states to impose road taxes based on CO2 emissions; and (v) an EU
code of good practice on car marketing and advertising to promote more
sustainable consumption patterns (Case A15).

 China’s regulatory system for fuel economy improvements: incentives

provided to lighter vehicle manufacturers: China’s strategy to achieve fuel
economy improvements involves providing incentives to manufacturers that
produce lighter vehicles. It is based on a stringent mandatory regulatory system
centered on transmission type and weight, with a requirement that each individual
model meet the target for each of the 16 weight classes (Case A19).

 Mexico City achieves improvements in air quality by a vehicle inspection

and maintenance programme: Mexico City achieved improvements in air
quality through a vehicle inspection programme that requires mandatory testing
for vehicle emissions in the city. A new protocol permitted the use of tighter
standards and reduced the number of false approvals through the use of an
accelerated simulation model that resulted in more reliable test results. The
Mexican experience shows that the comprehensive use of a staged (i.e., phased
in) emission control programme encompassing various measures is required to
progressively deal with vehicular emissions. The programme went through
several revisions and evolved to reflect tighter standards, more reliable testing
procedures and “days without a car”. Aspects of the programme include a legal
and regulatory framework allowing for independent monitoring of the testing
stations, an easily monitored certificate for passing the test, testing technology
capable of preventing temporary tuning and an optimal number of centres related
to the volume of traffic to be tested (Case A33).

 Japan’s vehicle emission control and the new green purchasing law:
Japan’s “Low Emission Vehicle Initiative” was based on a law that promotes
green purchasing. The law, enacted in 2000, required vehicles used for
administrative purposes in all ministries and agencies to be replaced with low-
emission vehicles (LEV) by FY 2004. As a result, the LEV proportion of cars
owned by governmental ministries and agencies accounted for about 73 per cent
of the total of official cars. In this case, the public sector served as a role model in
green purchasing, and the progressive increase in the introduction of LEV in the
sector worked well (Case A32).

 Beijing combines standards regulations, technology and fiscal incentive

measures in vehicle emission control: Beijing shifted from having no emission
standards until 1998 to a series of standards and controls: regulations involving
stringent tail pipe emission standards, as well as technology and fiscal incentives.
Stringent regulations for disposing of older vehicles were also implemented.
Through a vehicle classification system, vehicles were exempted from random
inspections and were not allowed to operate when pollution is severe. Fiscal
incentives included tax deductions for vehicles meeting enhanced emission
standards (30 per cent on light-duty vehicles meeting EU-2 standards), while

53
 technology supported the introduction of unleaded gasoline, as well as the
retrofitting of gasoline-powered vehicles with electronic fuel injection equipment
and three-way catalyst mechanisms (Case A36).

 Shanghai’s vehicle emission control programme involves implementation

of EU-1 standards: Shanghai responded to severe air quality degradation from
tail pipe exhaust pollution by implementing strict emission standards and
regulatory measures involving changing fuel-and-car-types, transportation
planning, prohibitions against the most polluting vehicles and fuel and certification
policies. These measures included the implementation of emission limits
equivalent to the EU-1 standards; strengthening the monitoring and maintenance
of current-use vehicles; promoting the elimination of old vehicles and prohibiting
the operation of motorcycles; as well as controlling the total annual number of
vehicle licences for private use and selling new licences by auction. Air quality
control planning was based on an Air Environment Protection Plan consisting of
revised standards, emissions testing, limits on the operation of heavily polluting
vehicles, more clean-fuel buses and taxis and improvements in public transport.
Transportation planning – comprised of a public transport first policy with
corresponding policies involving planning, investment, taxation and management
of vehicles – was also introduced. Rail transport (from new types of trolley cars to
urban light rail) was promoted to make this mode the core feature of urban public
transit. In addition, leaded gasoline was prohibited. A significant improvement in
air quality was achieved in the city with a reduction of CO, HC and NOx
respectively by 30, 50 and 50 per cent (Case A37).

 Novelty in U.S. fuel economy improvement system: One feature of the U.S.
fuel economy improvement system not available in other countries having similar
policies is the CAFE credit system, whereby manufacturers can earn credits if the
average fuel economy of the models they produce exceeds the standards set for
that particular year. Another noteworthy feature is that the CAFÉ standards
provide special treatment for vehicle fuel economy calculations of alternative fuel
vehicles, as well as of dual-fuel vehicles. The CAFE is the sales-weighted
average fuel economy, expressed in miles per gallon (mpg), of a manufacturer’s
fleet of passenger cars or light trucks with a gross vehicle weight rating (GVWR)
of 8,500 lbs or less, manufactured for sale in the United States in any given
model year. The standards are set by considering the technological feasibility,
economic practicability, effects of other standards on fuel economy and the
needs of the nation to conserve energy. They were implemented gradually and
made more stringent until March 31, 2003, when the National Highway Traffic
Safety Administration (NHTSA) issued new light truck standards. When
automobile manufacturers fail to meet certain standards in a particular year, they
are fined US$5.50 per tenth of a mile per gallon for each tenth under the target
value, times the total volume of these vehicles manufactured in a given model
year (Case A17).

 Japan allows manufacturers to accumulate credits from fuel economy

improvements: Similar to the U.S. CAFE standards, Japan set standards in
2001 allowing manufacturers to accumulate credits in one class of vehicles and

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to use them for another weight class. Recently, the government proposed that
carmakers increase the fuel efficiency of their cars by 23.5 per cent by 2015
under new regulations put forward by the Ministry of Transport and the Ministry of
Economy, Trade and Industry. In Japan’s weight-based system’s regulations,
vehicles must comply with standards based on the particular weight class they
belong to. The results of this system include reduction of carbon dioxide
emissions by about 19 per cent while producing the same calorific value;
reduction of carbon monoxide by 65 to 90 per cent and of non-methane
hydrocarbons (NMHC) by up to 97 per cent. Particulates were virtually
eliminated, and ozone reactivity from natural gas vehicles (NGVs) is up to 80 to
90 per cent better than that from gasoline emissions (Case A18).

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5. Suggested Ingredients of Policy Design to Motivate
Changes

This report’s contents suggest that to alter the less than optimal outcomes associated
with ongoing efforts to reduce transport emissions, public policy and action
programmes need to be based on a sound understanding that (i) behaviourial
change is a central ingredientin maintaining sustainable transport mode choices by
citizens; (ii) financing is essential in order to accomplish objectives (i.e., from creating
pedestrian and bicycle ways to building mass transit systems); and (iii) incentive
measures are an important means of influencing individual behaviour towards
positive actions.

In varying degrees, all three sets of measures – regulatory, economic and persuasive
– that have the potential to influence travel behaviour are being used, but rarely are
they used simultaneously or in a concerted way. As a result, policy measures fail to
comprehensively address all three elements influencing behaviour – fear of change,
economic interests and moral and ethical considerations (Figure 3.5). Therefore, the
scope for influencing behaviourial change has not been fully realized. When the
concepts are applied systematically and in tandem, as in the cases of the successful
change from leaded to unleaded gasoline in Thailand and Vietnam (Cases 27 and
30), the results have been highly positive.

A new generation of tools to change travel behaviour are in use in order to reduce
CO2 emissions. These essentially involve education, awareness and training, which
are seen as key to effecting quantum leaps in emissions reduction. What is less well-
known is the role of the physical infrastructure in influencing travel behaviour. For
example, most developing countries’ bus services are “overcrowded, uncomfortable,
undependable, slow, uncoordinated, inefficient and dangerous” (Kashirsagar, Bhusan
and Prakash 2008 p. 5). As a result, Local inhabitants frequently turn to car
purchases and their use to offset in the disadvantages of travelling by bus. The cases
concerning bus service in Curitiba and Jakarta (Cases 9 and 42) illustrate how
investment in bus service has positively influenced travel behaviour towards BRT.
Similarly, the walk and bicycle way cases (Case 4) illustrate that investment even in
low-cost physical infrastructure can facilitate citizens’ switch to the use of these
highly desirable transport modes.

Arguably, the role of urban planning in changing travel behaviour is the least
discussed and understood of all the means employed to reduce emissions.
Unfortunately, neither urban planning education nor the profession of urban planning
commands the role in influencing policy that economics, for example, commands.
This has been even more evident since the 1980s when free market, signal-based
individual, household and industry decision making has assumed an overwhelming
dominance. Since then, the planning paradigm has been neglected. As a result,
development controls, land use planning and zoning have lost political, hence, policy
support, the consequences of which are manifested in suburbanization, urban blight
and the growth of extended metropolitan regions (EMRs) around major cities. This
perverse development defies the basic purpose of effective urbanization, namely to

56
make the city an agglomeration of high-density economic activities and compact
living. This, coupled with the absence of mass transit, has made the automobile an
essential mode of travel in developing country cities as opposed to its earlier use as
a luxury item or a status symbol. Six cases presented in this report – urban planning
and densification for reducing car use in Vancouver; employing urban planning
paradigms by Curitiba with particular reference to its transportation system; restoring
the Cheonggyecheon stream in Seoul; reducing parking spaces; the Marikina
bikeways network in a Philippine city and the pedestrian malls in Singapore and
several European countries – are examples of positive results that can be achieved,
because each of these cases make substantial use of urban planning paradigms for
reducing car use, hence, CO2 emissions.

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6. Conclusions

The increase in the use of private cars has long been a major concern for countries
worldwide. The problems caused by the increase include the road space that cars
require, the emissions they generate, their consequences for human health, their
share of road accidents, their impact on the safety of walkers and cyclists and the
fossil fuels they consume per passenger kilometre of travel. Since the Kyoto Protocol
agreement on the reduction of greenhouse gases, a new dimension has been added
to the list of problems associated with cars. This is their dominant position in road
transport and their consequent contribution to CO2 emissions. Nevertheless, the
number of cars on the road continues to rise. It is predicted that they will increase by
ten-fold from 2008 to 2050.

Taking account of these developments, this study, among other related issues,
focuses on (i) understanding the circumstances under which individuals continue to
make the choice of buying a car for urban mobility; (ii) analysing and explaining the
reasons for the limited success of numerous public policies and actions to reduce
emissions and a dependence on car use; and (iii) exploring the scope for influencing
individual decisions to choose low-cost, low-emission transport (e.g., public transit)
and free transport (e.g., walking and cycling) for urban mobility. Although the focus
has been on exploring ways and means to influence individual behaviour, individuals
in the study are understood to include, not only “citizens”, but also the policymakers
and implementers in government and decision makers in the fuel and automotive
industries.

Motivation guiding the report

This report was written to suggest the ingredients of policy design that can (i) create
momentum to apply the positive changes underway globally (as reflected in the
cases reviewed); (ii) contain the countervailing forces that facilitate the sale or
purchase of automobiles (e.g., aggressive marketing by the industry for “people’s
cars” and/or “reconditioned” cars (both of these strategies are aimed at expanding
the market for lower- and middle-income groups) and the lending practices by
financial institutions and employers directed at making automobiles affordable to
customers and employees; (iii) promote the choice of low- or free-emission travel
modes (e.g., transit, cycling and walking); and (iv) provide government support to
industry for the purposes of innovating and applying emission control devices, clean
fuel and green vehicles.

Two-pronged strategy

The investigation shows that theoretical discussions and public policy actions
directed at private cars are now focused on reducing emissions in general and CO2
emissions in particular. In this report, the ways and means of pursuing these goals
have been grouped into two broad categories: (i) reducing transport demand and (ii)
reducing emissions.

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Reducing transport demand

To reduce transport demand, some of the actions now being used include: (i)
employing urban planning paradigms such as land use planning, development
controls and urban containment to restrict urban sprawl and suburbanization – all of
these tools are expected to reduce travel and commuting distances; (ii) transport
planning to facilitate accessibility and modal complementarity and to ensure
adequate provisioning of green transport infrastructures, such as public transit,
walkways and bikeways, so that low- or emissions-free travel mode choices by
citizens become possible; (iii) integration of urban planning and transport planning to
lead to a compact city development and a reduction of energy-intensive travel
requirements; and (iv) reduction in car use by facilitating a switch to public transit or
modes having similar emissions, as well as low or free travel modes.

Emission reductions

The actions taken to reduce emissions are largely technology-based. Public policies
and actions are centered on: (i) vehicle emissions control; (ii) cleaner fuel; and (iii)
green vehicles. Technological innovations are taking place directed at each of these
three ways to reduce emissions; however, it should be emphasized that technology
alone cannot solve the problems related to emissions control and climate change.

Regulatory, economic and persuasive measures

All three sets of policy instruments – regulatory, economic and persuasive – have
been widely used to address the excessive use of automobiles and the means of
controlling emissions. Commonly used regulatory measures include: (i) vehicle quota
systems that control the right to vehicle ownership; (ii) mandatory fuel economy
programmes; (iii) vehicle emissions standards; and (iv) area licensing systems.
Economic and financial measures in use include: (i) congestion charges; (ii) road
pricing; (iii) rebates/penalties based on low/high emissions of new cars purchased;
(iv) increasing the gasoline price; and (v) reducing the price of cleaner fuels.
Persuasive measures in use include: (i) car-free days; (ii) car sharing; (iii) walking
and biking shows; (iv) community travel feedback programmes; and (v) education
and awareness campaigns.

Lessons learned from useful examples

Whether regulatory, economic or persuasive measures are concerned, encouraging

examples exist. In urban planning, these include: (i) Vancouver’s densification
strategy for reducing car use; (ii) Curitiba’s urban planning that integrates transport
planning; and (iii) pedestrian malls in several European countries.

In transport planning, Singapore stands out among Asian countries, because of the
country’s integration of transport and land use. Beijing’s “integrated road transport
system development” is also drawing global attention. By financing investment for
public transport, it has created disincentives for car use.

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To achieve car use reduction, cases that offer useful lessons include: (i) Singapore’s
adding of quantity measures to initial reliance on incentive measures; (ii) the London
mayor’s determined action in levying congestion charges; (iii) France’s bonus rebate
scheme to buyers of new vehicles with low emissions; (iv) Singapore’s area licensing
system; (v) Sapporo’s (Japan) travel feedback programme; (vi) Seoul’s car-free days
programme that also offers considerable financial incentives put together jointly by
the public and private sectors; and (vii) Fukuoka’s multi-stakeholder initiative in car
sharing for reducing CO2 emissions.

To promote public transit, the cases that offer interesting insights include: (i)
Bangalore’s (India) effort to overcome perennial losses in providing bus service by a
combination of fleet modernization, augmentation of service, revenue cost
mobilization, fare policy and cost minimization; (ii) Ann Arbor’s (Michigan, USA) bus
pass programmes that have reduced car use by ten per cent; (iii) institutional,
technological and financing innovations that allowed Beijing to overcome the barriers
to create its Mass Rapid Transit System (MRTS); (iv) Jakarta’s Bus Rapid Transit
(BRT) that has encouraged 15 per cent of car users to switch to this transit service;
and (v) Bogota’s BRT operation, entirely funded by fare collection.

Other than the cases in several European countries, free-emissions travel mode
developments worthy of attention are: (i) Marikina Bikeways Network in a Philippine
city made possible by a Global Environmental Facility (GEF) grant; and (ii) Bangkok’s
failed walking street programme, which suggests that the closing of any street for
public use without a well-designed traffic plan and a public relations campaign should
be avoided.

A number of emissions reduction initiatives centered on the use of cleaner fuels were
in place when oil prices rose to unprecedented levels in 2008. But the collapse of the
oil price towards the end of 2008 impeded technological innovation and the
commercialization of alternative fuels (e.g., bio-fuel). Nevertheless, considerable
positive changes that replace more polluting fuels with cleaner ones have been
taking place globally. Examples include: (i) Mexico’s commonsense economic policy
of increasing gasoline prices and making compressed natural gas (CNG) the least
expensive fuel (similar policies exist in other cities, such as Dhaka in South Asia); (ii)
Thailand’s and Vietnam’s switch from leaded to unleaded gasoline by adopting all
three sets of environmental management measures; (iii) Delhi’s CNG adoption, made
possible by a Supreme Court mandate; (iv) Calgary’s making its wind-powered
commuter rail programme a reality by involving private companies; and (v) China’s
adoption of an alternative fuel strategy marked by the country’s tradition of learning
from other country experiences.

Most countries have vehicle emissions control programmes. Among others, the
following offer some lessons for strengthening this well-established route for reducing
emissions: (i) the EU’s switch from the initial reliance on largely voluntary
commitments to a comprehensive set of measures to reduce CO 2 emissions from
cars; (ii) China’s regulatory system for fuel economy improvements that includes
incentives for lighter vehicle manufacturing; (iii) Mexico City’s air quality improvement

60
using a vehicle inspection and maintenance programme that includes a new protocol
of emission controls encompassing the comprehensive use of different policy
measures; (iv) Japan’s use of its new green purchasing law for emissions control; (v)
Beijing’s combining standard regulations, technology and fiscal incentive measures;
(vi) Shanghai’s adoption of strict emissions controls that involve implementation of
EU-1 standards; (vii) the USA’s credit system that allows manufacturers to earn
credits if the average fuel economy of the models they produce exceeds the
standards set for that particular year; and (viii) Japan’s following the American lead in
allowing manufacturers to accumulate credits from fuel economy improvements.

Examples of the automobile industry’s adoption of strategies to innovate and market

green vehicles include: (i) hybrid technology cars; (ii) Tata’s “Nano Car” (promoted
as “energy efficient” and a “people’s car”, but the latter image has obvious
implications in terms of a significant increase in automobile ownership); and (iii)
several cases of transferring from diesel vehicles into electric vehicles in different
regions. In some instances, this switch has been possible because of donor support,
e.g., in the case of Kathmandu, Nepal. The use of the electric trolleybus in Quito,
Ecuador is particularly useful example for policy makers because of its adopting cost
recovery as a tool of financing.

Changes of a more fundamental nature required

A serious analysis of the two-pronged strategies being utilized (i.e., transport demand
management and reducing emissions) to reduce of automobile use and CO2
emissions could justifiably make one optimistic about progress and prospects in this
field. Success using these strategies also carries the potential to reduce urban
mobility related stress – a daily experience for those living in cities. However, this
potential is not going to be realized unless some fundamental changes occur in
public policy formulation and implementation.

Inadequacies and failures

Nonetheless, analysis suggests that the results of public policy proposals and actions
taken remain less than optimal, if not insignificant. The analysis in this report traces
the following failures and inadequacies: (i) neglect of urban planning as if in a free
market economy, planning paradigms have no role; (ii) failure to adopt
comprehensive, environmentally sustainable transportation strategies; (iii) partial and
piecemeal use of incentive measures without realizing the significance or value of
using regulatory, economic and persuasive measures simultaneously; (iv) inadequate
understanding of the motives behind car ownership use; (v) failure to utilize the full
potential of changes and innovations in fuel and vehicle technologies; (vi) lack of
appreciation of the substantial investments required to create a green transport
infrastructure; and (vii) failure to attract the necessary investment funds because of a
reluctance to allow cost recovery.

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Need for international assistance and cooperation

Lessons from the experiences detailed in this report should help to overcome these
inadequacies and failures. However, this will not happen without international
assistance. The scope of the problems is too great for political leaders or
policymakers, particularly in developing country cities, to undertake initiatives and
actions without encouragement and support from international agencies, access to
official development assistance (ODA), external capital markets and foreign direct
investment (FDI). Support and cooperation should follow a logical sequence.
International agencies need to take the lead in providing technical assistance (as
they have traditionally done) and in disseminating learning experiences, new ideas
and technological innovations. ODAs need to assume a vanguard role in
demonstrating good practices (again a role they have traditionally assumed). More
importantly, successful completion of these two phases should be followed by a flow
of FDI in sufficient amounts to support a green transport infrastructure – from the
construction of pedestrian ways to mass transit, particularly for the mega-cities of
developing countries.

Crucial role of political leaders

For the changes above to be effective, politicians need to take a proactive role in
informing citizens that their quality of life will be better, their property values higher
and their transport-related expenses lower if they are willing to pay for public services
in general and transit service in particular. Moreover, politicians need to devote more
to these tasks and to discard the notion that they will lose elections if citizens are
required to pay for good bus or train service. The culture of replacing a “natural”
public service (transit) by an individually owned one (private cars) has reached
harmful levels.

Hopefully, readers and users will find some insights in this report, not only for
reversing climate change, but also for building less stressful and healthier lives by
discarding automobiles or limiting their use to an absolute minimum. Individual
citizens on their own, however, will not be able to do much if governments do not
take action to implement effective solutions.

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 Appendix

Case Summaries and Lessons Learned

1. Urban planning and densification for reducing car use, Vancouver,
Canada, 2007

In 2007, Mayor Sam Sullivan called on the municipalities of his cities, as well as
senior levels of government, to open the debate on increasing urban density as a
way to reduce dependence on car use in order to address global climate change.
Speaking to Vancouver citizens, business people and those in the development,
housing, social services, and the environmental community, he said: “We should be
talking about how better urban planning and densification (emphasis added) of our
cities can significantly reduce our impact on the environment.”

The mayor’s discussion of choices, among others, included the following:

 whether people wanted the city to take more advantage of streets and nodes well
served by transit or areas located around Sky Train and the future Canada Line
stations by increasing density significantly in those areas;
 whether the city should reduce its parking requirements for new developments,
and if so, which type of developments;
 whether the city should require spaces for car sharing or electric plugs in new
underground garages to promote the use of electric vehicles; and
 whether the city should establish car-free neighbourhoods.

The above initiative obviously relied on the good sense of citizens to start with.
Subsequent policy measures, based on the feedbacks from citizens and businesses,
will focus more on enforceability and effectiveness of the measures.

Source: Based on World Bank, Climate Resilient Cities (Washington D.C.: World
Bank) (2008, pp. 83 – 84).

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2. Congestion charges to reduce car use in central London

Although Singapore pioneered road pricing to address congestion in city centres as

early as 1975, two events since then have contributed to popularizing congestion
charges. These are (i) technological advances enabling electronic road pricing (ERP)
and (ii) London Mayor Ken Livingstone’s implementation of congestion charges in
London.

The greater London (central zone) Congestion Charging Scheme was introduced in
February 2003. Since then a number of variations to the schemes – dealing with the
legal framework – have been made in order to make adjustments and improvements
in its operation.

The scheme requires vehicles that drive within a clearly defined zone of central
London between 0700 to 1800 hours on Monday through Friday to pay a £8.00 daily
congestion charge.

The charge serves as an encouragement to car users to choose other forms of

transport. Revenues from the charge are spent on transport facilities. Since
implementation, London has experienced the following benefits:

 Traffic entering the original charging zone has been reduced by 21 per cent;
 There has been an increase of 43 per cent in cycling within the zone;
 There has been a reduction in accidents and key traffic pollutants; and
 Public transport has successfully accommodated displaced car users.

In February 2007, following the initial success of the scheme, the congestion
charging zone was extended to the west.

Following consultations with the public and other stakeholders the mayor, from 27
October 2008, confirmed some variations in charges, styled as CO2 charges, to:

 encourage drivers within the charging zone to travel in vehicles that emit lower
levels of CO2 ;and
 discourage the use of vehicles with high CO2 emissions.

The principal aims of the charge remain: (i) tackling congestion, (ii) encouraging
drivers to shift from private vehicles to public transport, walking and cycling and (iii)
reducing greenhouse gases.

Mayor Livingstone’s determined efforts, backed by the responsible citizens of

London, are seen as the backbone of this policy’s success and will provide for its
continuation beyond his tenure as mayor.

Source: Based on Transport for London: About the Congestion Charge

http://www.tfl.gov.uk/roadusers/congestioncharging/6710.aspx

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3. Traffic congestion pricing, Seoul, South Korea, November 1996

Most arterial roads in Seoul are heavily congested throughout the day. Building new
roadways to an extent that they will mitigate the traffic congestion of Seoul is
constrained by the lack of land and the high cost of construction. Consequently, the
Seoul Metropolitan Government (SMG) has taken measures to reduce traffic
congestion in the inner city and to shift the transportation modal choice in favour of
public transportation by (i) expansion of road railway networks and (ii) vehicle-related
taxation, congestion pricing, parking fees and private car-use restraints.

Starting in November 1996, SMG began to charge 2,000 won (about US$1.50) as a
“congestion toll” for private vehicles carrying only one or two persons (including the
driver) as they pass through the Namsan#1 and #3 tunnels, linking the southern part
of the city to the central business district (CBD). The toll charges are collected on
vehicles travelling in both directions per entry from 0700 to 2100 hours Saturdays
and Sundays. National holidays are free of charge. The penalty for a violation
amounts to 10,000 won (five times the regular congestion fee). Vehicles exempted
from charges are private vehicles with three or more passengers, all buses, vans,
taxis, emergency vehicles, handicapped persons’ vehicles and diplomats’, reporters,
government office and ceremonial vehicles used for welcoming foreign guests.

Essential complementary measures included enactment of the congestion pricing

collection ordinance and raising awareness and spreading information to ensure
public acceptance of the new policy. A capacity building programme was also
undertaken.

The lessons learned from the Seoul congestion pricing case include the following:

 It is possible to influence transport demand by using congestion charges;

 Through selective road pricing on a few arterial roads, a city can reduce traffic
volume on the entire road network;
 Using toll booths to collect tolls does not cause a net increase in travel time when
the average traffic speed is increased due to a reduction in congestion;
 It is possible to enhance transportation choices. Congestion pricing increases
these choices by allowing citizens to consider additional transportation options;
and
 Reduced congestion reduces fuel consumption as well as emissions of
hydrocarbons, carbon monoxide and carbon dioxide. If overall trips are reduced,
emissions of nitrogen oxides will also be reduced.

Despite these positive results, implementing this policy in other cities has been
placed on hold because of public opposition based on the idea that congestion
pricing represents double taxation.

Sources: Based on Yoon, S W (2003). Introduction of Traffic Congestion Pricing in

Seoul, Korea. Institute for Global Environmental Strategies (IGES), ‘Emission Control
Measures in Beijing, China”, “Good Practices Inventory”, Asia-Pacific Environmental
Innovation Strategies (APEIS), Research on Innovative and Strategic Policy Options
(RISPO).

65
4. Marikina bikeways network: an encouraging local government
programme in a Philippine city

Marikina, located about 21 kilometres from Manila along the eastern border, has
become a bicycle-friendly city. This was made possible because of political
commitment in the form of an initiative by Mayor Bayani Fernando and its
continuation by Mrs. Fernando after she succeeded him as mayor. The success of
the Marikina Bikeways Network is also said to represent a win-win scenario in that it
evolved from a “river rehabilitation programme”, an initial 10 kilometres of jogging
paths and bikeways built along the Marikina River. This involved recovery of 220
hectares of public space formerly occupied by “illegal settlers”.

The recovered area was then developed into theme parks and playgrounds. People
began coming to the water to participate in the “celebration of the city’s success in
saving the Marikina River”. The majority who came used bicycles. This led to the
adoption of a pilot project for a non-motorized mode as an alternative and, in some
instances, a complementary mode of travel to employment centres and LRT stations.

The city’s initiative attracted the attention of the Global Environmental Facility (GEF).
Their funding support led to a gradual implementation of the bikeways network.
Currently, 52 kilometres of bikeways connect the city’s residential areas to the
employment centres, markets, schools, government service providers and to an LRT
station.

The success of the Marikina Bikeways Network appears to have resulted from a
combination of the following:

 the city’s integration of the bikeways’ construction into its regular road
improvements or widenings (wherever feasible) and sidewalk/drainage
improvement projects, complemented by consistent implementation of traffic
rules and regulations;
 bicycle safety education, information dissemination and advocacy campaigns;
 continuing recovery of all public places to increase mobility and create green
spaces; and
 a GEF grant that financed 19 kilometres of the current 52 kilometres of the
bikeways network.

To overcome the common barriers to bicycle use, the city has also several
supporting programmes. These include:

 a loan programme for city employees;

 bicycle safety information dissemination;
 sponsorship of annual cycling competitions and bicycle advocacy events to
promote public enthusiasm for cycling as a sport and public support for air
quality protection; and
 building more complementary bicycle facilities, such as better bicycle traffic
flows and informative signage, innovative design on bicycle lane pavement
markings and installing bicycle parking and bicycle stations to enhance
bicycle trips.

Source: Based on the Marikina Bikeways Programme brochure, Marikina City

Bikeways Office. Also see Harvard Kennedy School Ash Institute for Democratic
Governance and Innovations,
http://www.innovations.harvard.edu/awards.html?id=41311

66
5. Hydrogen fuel: outcome of an automaker’s investment for sustainable
mobility

Similar to sun and wind, hydrogen is a renewable source of energy. As part of a

commitment to contribute to sustainable mobility and a clean environment, BMW’s
research and development (R&D) spending for hydrogen as a fuel has already
reached the commercialization stage. For safety and convenience, BMW has created
a two-tank fuel car so that drivers can switch from one fuel to the other by simply
pressing a button on the steering wheel. To promote and popularize its use, the
company has set up a whole range of hydrogen infrastructures from mobile fuel
stations to workshops.

California has started promoting “clean hydrogen fuelled mobility”. The state has built
more than a dozen hydrogen refuelling stations of the 150 to 200 fuel stations
planned by the year 2010. The typical distance between two fuel stations is 20 miles.
This network is a joint project between the government and industry, with energy
companies, carmakers and high-tech firms also playing a significant role.

Hydrogen fuel innovation reflects the growing commitment of automakers to make

investments to support sustainable mobility and a clean environment. There is a
sense that this is necessary for continued success in business.

Source: Based on BMW’s brochures, Clean Energy and Tomorrow’s Solution Today,
2008.

67
6. China’s fuel-cell vehicle initiative

Total primary energy consumption in China in 2004 reached 1386.2 million tonnes of
oil equivalent, accounting for 13.6 per cent of global consumption and making China
the second largest consumer of energy in the world behind the U.S. (22.8 per cent).
China is also the second largest emitter of CO2, making up roughly 13 per cent of
global emissions. Mindful of these statistics, the Chinese government has adopted a
strategy of “sustainable development” and a policy of “energy saving production and
an environmental friendly and resource-cyclic economy”. A renewable energy law
came into effect in January 2006. Some measures have been taken to apply these
policies – for example the priority given to public transportation development in an
urban and renewable energy development programme. Fuel-cell systems, fuel-cell
sedans and city buses are listed as “High Technologies Development” in the five-
year plan (2001-2005). Beijing’s hydrogen refuelling station for the demonstration for
fuel-cell bus commercialization in China was set up at the city’s Hydrogen Park.

Source: Based on Hydrogen-Fuel Cell Vehicle Development in China (Jingguang

2006) retrieved on 17 September 2008 from:
http://www.un.org/esa/sustdev/csd/csd14/lc/presentation/hydrogen4.pdf

68
7. VQS as a quantity measure to restrict vehicle ownership

As a land-scarce and island city state, Singapore was made aware of the danger of
uncontrolled private car ownership and usage very early. Heeding a 1974
comprehensive transportation study recommendation, the government undertook a
combination of vehicle usage and ownership measures. Usage measures included (i)
parking charges; and (ii) an Area Licensing Scheme (ALS, later Electronic Road
Pricing (ERP). Steps to control ownership included (i) vehicle taxes, such as the
Additional Registration Fee (ARF), and (ii) excise duties. These incentive measures,
however, were inadequate to restrict vehicle growth at a sustainable pace in view of
Singapore's road infrastructure.

With the above backdrop, in early 1990 Singapore introduced a quantity measure – a
Vehicle Quota System (VQS). This was accompanied by a mechanism, a Certificate
of Entitlements (COE), to obtain the right to own a vehicle. Under this system, each
potential vehicle owner has to bid for a COE for a specified category of vehicle. This
system has been used to restrict vehicle growth to 3 per cent per year.

Lessons from VQS experience include the following:

 Leaders must display courage and foresight in implementing demand

management policies and instruments such as the VQS;
 Public acceptance of car ownership restrictions has been less problematic
because of the availability of a relatively cheap and efficient public transport
system comprising rail, bus and taxi services; and
 A VQS bidding process, if imposed, must be technically feasible,
economically reasonable, easily understandable, transparent and impartial.

As a result of continuing assessment and refinement, VQS/COE remains a

centerpiece in restricting vehicle ownership in Singapore.

Source: Based on Foo T. S. (1998). “A Unique Demand Management Instrument in

Urban Transport: The Vehicle Quota System in Singapore”, Cities, Vol. 15(1), pp. 27
– 39 and Omar M. and Rahman N. A. (2006). Certificates of Entitlement (COEs).
Commentary on Article Infopedia Talk Written on 04-07-2006 at National Library
Board, Singapore.

69
8. Singapore’s Area Licensing System

In 1975, Singapore introduced, the Area Licensing System (ALS) centered on road
pricing to reduce congestion in the central business district (CBD) of this city-state.

As a “ cordon pricing system”, ALS, by constructing 22 entry points, was used to

designate a part of the CBD area as a “restricted zone”, thereby isolating it from the
rest of the city. The scheme required advance purchase of a licence to enter the
restricted zone during morning peak hours (0730 to 0930) at a cost of $S3 (later
changed to $S4) a day (or $S60 per month, later changed to $S80).

As a paper-based system, ALS requires verification at the entry posts. Non-

complying vehicles are issued a fine slip sent by mail to the owner’s home. At the
same time, to discourage car use, public parking charges in the restricted zone have
been raised and an additional surcharge has been levied on private parking
operators. As a result of ALS implementation, the inbound traffic volume in the CBD
during morning peak hours is still lighter than it was before ALS implementation three
decades ago.

Despite strong economic growth and a 20-fold increase in office space and
associated employment, Singapore is considered to have kept the environmental
impact from transportation systems to acceptable limits. Its motorization level is
significantly lower than cities having one-third of its income-level.

Source: Based on Dhakal S (2003). Environmentally Sound Transportation Planning

in Singapore. Asia-Pacific Environmental Innovations Strategy Project (APEIS),
Research on Innovative and Strategic Policy Options (RISPO), Final Report (Vol. 3),
March 2005, IGES, Japan.

70
9. Curitiba, Brazil: A model in urban planning, with particular reference to
its transportation system

Curitiba’s master plan, implemented since 1965, addresses urban planning issues
with efficient public transit and environmental and social programmes. The plan
focused on:

 minimizing urban sprawl by zoning laws and a land use plan;

 having a transit-oriented city;
 reducing vehicular traffic; and
 making use of transport users to aid in effective city planning.

With regard to urban planning and transportation planning, the major strategies have
been as follows:

Key Urban Planning Strategies Key Transportation Strategies

- Zoning laws
- Land use plan
- Restructuring the city’s radial
configuration into a linear model of
urban expansion
- Creation of an urban planning agency
and making it responsible to develop,
supervise, monitor and continually
update the master plan
- Limiting car use and promoting other
modes of transport
- Integrating public transit with biking and
walking (Curitiba has 150 kilometres of
bicycle ways)
- Building an extensive BRT network
- Determining bus fares, based on a cross-
subsidization principle: low fares for those
who live on the city periphery
(predominantly low-income groups)
compared to those who take shorter
journeys

Lessons

 Successful integration of urban planning and transportation planning seems

to have been made possible through the mutually reinforcing use of
respective paradigm’s tools, i.e., zoning laws and providing maximum
accessibility;
 The extensive public transportation system has served as a “big
push”/ “ leading sector” role, a factor in making Curitiba a prosperous and
growing city;
 Curitiba’s success did not come rapidly. Its first plan (conceived in 1943 by
Alfred Agache, a French urban planner and architect) failed due to funding
constraints – particularly funding for the large infrastructure changes required
by the plan. Although the early plan was unsuccessful, it did raise local public
awareness about the need for city planning in the future;
 The creation of the Institute de Pesquisa a Planejamento Urbane de Curitiba
(Research and Urban Planning Institute) (IPPUC) – the eventual formulation
of a master plan (created in 1965 and implemented in 1971) and strong
government leadership (such as that of Mayor Jaime Lerner) offer insightful
lessons about the need for institutional cooperation and the ability of a city to
implement an effective and coordinated urban planning programme.

Source: Based on Karis B. Veilleux J. McCartney K. and Yannes C. (2006).

Transportation Case Study: Curitiba, Brazil. 21p.

71
10. Curitiba’s busways: a model of Bus Rapid Transit (BRT)

Curitiba’s busways are viewed as a model of bus rapid transit (BRT). The busway
programme was developed as an integral part of the city’s master plan and is widely
recognized for its many innovative features. Trunk and feeder bus lines, routed
through terminals, allow convenient fare-free transfers. Downtown and the
neighbourhoods are linked through exclusive traffic lanes, which increase bus speed
considerably without jeopardizing safety.

The operation of the bus system is financed completely by bus fares, without any
public subsidies. The bus line project was financed by the Inter American
Development Bank, the private sector and the Municipality of Curitiba.

Lessons

The overall system, which is used by about 70 per cent of Curitiba’s commuters, was
the result of:

 many incremental decisions aimed at improving service quickly, pragmatically

and affordably;
 ensuring cost recovery;
 Using a “ single-fare” or “flat fare” system that works as a subsidy to low-
income peri-urban area residents (because these residents pay the same fare
as that of the city-centre residents); and integration of land use, road systems
and mass transit components.

Source: Based on TCRP (n.d.). Curitiba, Brazil: BRT Case Studies. Transit Research
Cooperative Programme (TCRP) Report No. 90. 21p. and Matsumoto N. (2002).
Integration of Land Use and Bus System in Curitiba, Brazil. Asia-Pacific
Environmental Innovations Strategy Project (APEIS), Research on Innovative and
Strategic Policy Options (RISPO), Final Report (Vol. 3), March 2005, pp. 417 – 422,
IGES, Japan.

72
11. Alternative fuel vehicles: the Shanghai case

Official documents and presentations make it clear that China is interested in

learning from the experiences in other countries. This is reflected in Shanghai’s
adoption of Alternative Fuel Vehicles (AFVs). The Shanghai Government organized a
programme to study the use of liquefied petroleum gas (LPG) and compressed
natural gas (CNG) in other countries before using them in Shanghai. The
investigation of LPG started in 1995, and by 1997 Shanghai had implemented its
LPG Vehicles Promotion Programme. Similarly, anticipating access to a huge source
of natural gas from a pipeline running from Xingjian to Shanghai (West to East Gas
Pipeline), the city started addressing the key technical problems associated with
dedicated CNG vehicles, CNG bi-fuel vehicles and their engines. By 2000, 70 LPG
service stations were built and around 1000 existing buses were reconstructed as
LPG or CNG vehicles. The aim is to refit all public buses and taxis in the same way.

The city collaborated with Shanghai’s Tongji University and the Volkswagen Co. Ltd.
for research and development (R&D) on AFVs. To set up the necessary
organizational arrangements, it established the LPG Vehicle Promotion Coordination
Group.

The guidelines for AFV development and the incentive measures used for their
promotion were carefully prepared “according to the rules of a market economy with
no monopoly or vicious competition” (Yu and Jiang, 2003, p.2). The incentive
measures used included investments, loans, taxes and pollution fees. Regulatory
measures were used to ensure safety and to develop standards for the LPG & CNG
stations.

Features of the programme

 an ability to learn from other countries’ experiences;

 the use of R&D for AFV development;
 the use of incentive measures to promote AFVs;
 the need to establish organizational arrangements; and
 the use of regulatory measures to ensure safety and establish standards.

Source: Based on Yu S. and Jiang K. (2003). Introduction of Alternative Fuel

Vehicles in Shanghai. Asia-Pacific Environmental Innovations Strategy Project
(APEIS), Research on Innovative and Strategic Policy Options (RISPO), Final Report
(Vol. 3), March 2005, IGES: 445 – 448.

73
12. Beijing’s plan involving “substituting” for private travel: a two-pronged
strategy

Initiated in 1985 against the backdrop of a widening gap between transport demand
and supply, Beijing’s integrated road transport system development programme was
directed at “substituting [for] private travel”. In doing so, it adopted a two-pronged
strategy: (i) building mass transit and (ii) creating disincentives to car use. Intra-city
public transport and rail transport were the chosen modal strategies for reducing car
use, whereas, among other incentive measures, increased parking fees were
imposed, especially in eight central areas of the city.

To build a new transport infrastructure, Beijing successfully increased financial

resources by diversifying its sources of funding. Apart from funds appropriated by the
central government and local governments, it drew on (i) domestic loans; (ii) foreign
investment bonds; and (iii) revenue from the local market, earmarked taxes and fees
based on the beneficiary-pay system.

Foreign enterprises and the private sector could invest in the transport infrastructure,
which was formerly monopolized by the public sector. The city also reduced the
financial burden of building a road infrastructure by requiring residential developers to
improve the transport infrastructure in the vicinity of their developing areas.

Lessons

To improve its transport infrastructure, Beijing depended on the following:

 diversification of funding sources;

 parking fees at a level to have an effect on automobile use;
 making (private sector) housing developers build transport infrastructure in
the neighbourhoods of their respective projects.

Source: Based on Liu et al (2003).

74
13. Bangalore bus service: an encouraging programme in a developing
country city

Although the bus is the most affordable mode among the various mass transit
modes, developing countries have generally failed to provide good bus services. This
failure is one reason that car ownership is a common goal of middle-income urban
residents in developing country cities. Low-income urban residents or those who
cannot buy a car often opt for a motorcycle. The consequence of the affordability of
cars is most vividly manifested in cities such as Bangkok, and that of motorcycles in
cities such as Hanoi and Ho Chi Minh City.

A reasonable bus service – assuming that other modes of mass transit such as Sky
Train or underground rail are too expensive for most low-income countries – is an
attractive option. Bangalore, India is a good example in this respect (setting aside
BRT in Curitiba or Jakarta, since BRT has another level/dimension).

The present level of bus service in Bangalore did not emerge rapidly. The Bangalore
Metropolitan Transport Corporation’s (BMTC) predecessor – the Bangalore Transport
Service (BTS) – long experienced the perennial problem of incurring substantial
losses in providing bus service.

This changed with the creation of BMTC in August 1997, which was started up by
restructuring the Karnataka State Road Transport Corporation (KSRTC). The
restructuring and the associated reforms made the BMTC a positive force for
transport change dating from the years 1998/99 – 2006/07.

Of the five major metropolises of India (Bangalore, Chennai, Delhi, Kolkata and
Mumbai), only Bangalore’s bus service is “riding along the path of profit” (BMTC
2007, p.27). Its fleet has increased to number 4,354 vehicles, and it carries over 3.5
million commuters (Bangalore’s population in 2001 stood at 5.69 million).

Factors that shaped BMTCs’ success include the following:

 fleet modernization;
 augmentation of service;
 revenue mobilization measures;
 fare policies; and
 cost-minimization measures.

Source: Based on Bangalore Metropolitan Transport Corporation (BMTC),

Sustainable Transport System: BMTC – An Example, presentation of BMTC Director
to the Asian Mayor’s Policy Dialogue for the Promotion of Environmentally
Sustainable Transport in Cities, 23-24 April 2007, Kyoto, Japan.

75
14. New Delhi’s CNG Programme: a significant move to clean fuel

New Delhi is one of the most populous cities and is also among the ten most polluted
cities in the world. It has a circular urban form and is continually growing beyond its
original boundaries. Its transportation is predominantly road-based. In recent years,
there has been a sharp change in Delhi’s vehicle composition. Scooters and other
two-wheelers have become the most common choice for personal transport. The
increasing vehicular population and its changing composition have been the major
causes of the deterioration in urban air quality. Studies have shown that particulate
matter in the air is far above acceptable levels.

Against this background, a writ petition was filed in 1985 by environmentalists

challenging the inaction of the government of Delhi in combatting the causes and
impacts of air pollution. The petitioners claimed that the government had done
nothing to relieve the suffering of residents from the effects of pollution, nor to
prevent it. Since citizens have the constitutional “right to life”, the petition said, it was
the duty of the government to protect the quality of the environment. On July 28,
1998, the Supreme Court of India handed down its landmark decision requiring a
massive air pollution control programme for Delhi. Since then, the Delhi CNG
programme has rapidly developed as an example of the successful transformation to
the use of CNG in phases:

 On March 31, 2001: the deadline for CNG buses was met by using public
buses but not those of private operators;
 May 2001: the CNG programme was reviewed by an expert group. The
experts said the programme was “poised for outstanding success”. Numerous
technical recommendations concerning technical details and implementation
were made;
 April 2002: the court ordered fines for diesel bus operators, which led to a
substantial increase in the number of private CNG buses and a demand for
private bus conversions to CNG use; and
 Since then, development of the CNG refueling infrastructure has gained
momentum.

While there is controversy about the extent of the improvements in Delhi’s air quality,
it is nonetheless true that the peak levels of various air pollutants have come down.
The average levels have also stabilized despite an increase of more than 200,000
vehicles in the city. Mumbai, looking at Delhi’s example, is now pressing ahead with
a programme to increase the number of CNG vehicles (Parikh 2002).

Lessons

 Environmental activism, a Supreme Court mandate, penalty provisions, a

CNG refueling infrastructure and associated safety measures – all proved to
be key in a breakthrough in the use of CNG;
 Large-scale change in a CNG vehicle fleet is possible in a short time when
incentive measures, the signaling of consistent messages, the building of
public opinion and acting simultaneously on vehicle conversion and the
infrastructure building are employed.

Source: Based on Weaver (2004), Parikh (2002), Bose (1999), and Sidharta (1999).

76
15. Cutting CO2 emissions from automobiles: the EU switches from largely
voluntary commitments to a comprehensive set of measures

As with its other environmental initiatives, the EU is providing leadership in cutting

CO2 emissions from private cars. Not satisfied with the results of its 1995 strategy,
which relied largely on voluntary commitments of the auto industry and users, the
European Commission announced a revised strategy in 2007. This is based on a
comprehensive set of measures to influence both the supply and demand sides of
the EU market for cars and vans. The objectives of these measures are to promote
affordable fuel efficiency improvements and reductions in CO2 emissions, as well as
to obtain substantial fuel savings for car and van drivers. Together with the recent
proposal to update the fuel quality directive, which is aimed at reducing greenhouse
gas emissions from transport fuels by 10 per cent between 2010 and 2020, the
strategy represents the first concrete implementation of the Commission’s recent
Energy Efficiency Action Plan and its Energy and Climate Change Package.

Three-tier strategy since 1995

Since 1995, the EU has employed a three-tier strategy to reduce harmful emissions.
This has included the following:

 voluntary commitments by the European, Japanese and Korean car industries

to reduce CO2 emissions from their new cars sold in the EU to an average of
140g/km by 2008 (for European manufacturers) and 2009 (for Japanese and
Korean manufacturers);
 raising awareness among consumers. An EU directive requires the display on
each new car of a label showing its fuel consumption and CO2 emissions, as
well as publication of fuel efficiency information in other formats, including in
printed advertisements.
 promoting fuel-efficient cars through fiscal measures. Several member states
have passed legislation aimed at including a CO2 element in national car
taxes.

Progress (as of 2007)

 There has been only limited progress towards achieving the target of 120g
CO2/km by 2012. Between 1995 and 2004, the average emissions from new
cars sold in the EU-15 fell by 12.4 per cent: from 186g CO2/km to 163g
CO2/km. Over the same period, new cars sold in the EU became significantly
larger and more powerful. The Commission’s review of the strategy therefore
concluded that the voluntary commitments have not succeeded and that the
120g target could not be met without further measures.

Revised strategy (announced in February 2007)

The principal measures in the revised strategy are as follows:

 a legislative framework to reduce CO2 emissions from new cars and vans will
be developed. The auto industry will be provided with sufficient lead time so
that it can count on regulatory certainty;
 Average emissions from new cars sold in the EU-27 would have to reach the
120g CO2/km target by 2012. Improvements in motor technology are to reduce
average emissions to no more than 130g/km, while complementary measures
would contribute a further emissions cut of up to 10g/km, thus reducing overall
emissions to 120g/km. These complementary measures include (i) efficiency

77
 improvements of car components with the highest impact on fuel consumption,
such as tyres and air conditioning systems, and (ii) a gradual reduction in the
carbon content of road fuels, notably through greater use of bio-fuels.
Efficiency requirements will be introduced for these car components;
 For vans, the fleet average objectives will be 175g by 2012 and 160g by
2015, compared with 201g in 2002;
 There will be support for research efforts aimed at further reducing emissions
from new cars to an average of 95g CO2/km by 2020;
 Measures will be introduced to promote the purchase of fuel-efficient vehicles,
notably through an amendment to the car labeling directive to make it more
effective and by encouraging member states that levy road taxes to base
them on a car’s CO2 emissions. The Council of Ministers will be encouraged
to adopt the Commission’s proposal on road taxes without further delay; and
 An EU code of good practice for marketing automobiles will be promulgated
and there will be publicity to promote more sustainable consumption patterns.
The Commission has invited car manufacturers to develop the latter
immediately.

Lessons

 Voluntary commitments are not adequate;

 An increase in the number of new cars on the road did not allow an overall
reduction in CO2 emissions from the previous set of policy measures; and
 Reductions in automobile use and/or purchase of new cars should be
priorities.

Source: Based on EUROPA Press Release, Brussels, 7 February 2007.

78
16. France Introduces rebates and penalties to encourage new car
purchases based on low and high CO2 emissions

From 5 December 2007, a buyer of a new vehicle in France was eligible for a rebate
for purchasing new vehicles or liable to pay a penalty depending on the CO2
emissions from his/her vehicle. The incentive measures were broadly categorized as
(i) bonus rebates for low CO2 emission vehicles and (ii) ecopastille (penalty) for high-
emission vehicles.

Bonus

They buyer of a vehicle with emissions lower than 130 grams of CO2 per sq km was
eligible for the bonus rebate. The rebate depends on the level of emissions and was
awarded as follows:

 €1,000 for vehicles emitting under 100 grams of CO2 per kilometre;
 €700 for vehicles emitting between 101 and 120 grams CO2 per kilometre;
and
 €200 for vehicles emitting between 121 and 130 grams CO2 per kilometre.

If a vehicle older than 15 years is traded in to be scrapped at the time the new car
was ordered, the buyer received a further €300 rebate – the super bonus.

Penalty

From January 2008, there has been a penalty due on any new car with high
emissions – over 160 grams of CO2 per km. The penalty is paid at the point of first
registration and is called the ecopastille. It applies to vehicles with emissions as
follows:

 €200 for vehicles with emissions from 161 to 165 grams of CO2 per kilometre;
 €750 for vehicles with emissions from 166 to 200 grams of CO2 per kilometre;
 €1600 for vehicles with emissions from 201 to 250 grams of CO2 per
kilometre; and
 €2600 for vehicles with emissions over 250 grams of CO2 per kilometre.

The relevant agency (ADME (Agence de l’Environnment et de la Maitrise de

l’Energie)) provides comprehensive information on vehicles and their emissions.
Potential car buyers have access to a full list of CO2 emissions per vehicle make and
model.

Lessons

 France has found a way to use consumer-directed incentive measures to

reduce CO2 levels from emitting cars; and
 CO2 reducing incentive measures integrated with car registration procedures
have been an effective means to implement the programme.

Source: Government of France, Buying a Car in France: The Carte Grise French
vehicle Registration Document, Angloinfo, Paris Ile de France Local Reference
Information, 11.03 Saturday 11 October, 2008 (2008).

79
17. Fuel economy improvements: the U. S. CAFE standards

Apart from current global action to reduce CO2 emission levels, there are also a
number of local and national initiatives aimed at protecting the local and national
environment and public health. Some of these that focused on fuel economy
improvements were spurred by the Arab oil embargo of the early 1970s. This was the
case for the establishment of Corporate Average Fuel Economy (CAFE) standards in
the U.S under its 1975 Motor Vehicle Information and Cost Savings Act.

CAFE stands for sales-weighted average fuel economy, expressed in miles per
gallon (mpg), of a manufacturer’s fleet of passenger cars or light trucks with a gross
vehicle weight rating (GVWR) of 8,500 pounds or less, manufactured for sale in the
United States in any given model year. Originally, CAFE aimed to double the fuel
economy of passenger cars by 1985 from the time it was enforced in 1975. These
standards are overseen by the National Highway Traffic Safety Administration
(NHTSA), while the Environmental Protection Agency (EPA) is responsible for
calculating the average fuel economy for each manufacturer. The CAFE standards
are set by considering technological feasibility, economic practicability, the effect of
other standards on fuel economy and the need of the nation to conserve energy.
They were implemented gradually and made more stringent recently so that on
March 31, 2003, NHTSA issued new light truck standards, setting a standard of 21.0
mpg for model year (MY) 2005, 21.6 mpg for MY 2006, and 22.2 mpg for MY 2007,
while that for passenger cars has remained at 27.5 mpg since 1985.

When auto manufacturers fail to meet certain standards in a particular year, they are
fined US$5.50 per tenth of a mile per gallon for each tenth of a mile under the target
value times the total volume of these vehicles manufactured for a given model year.
One feature of the U.S. system not present in other countries’ policies is the CAFE
credit system, whereby manufacturers can earn credits if the average fuel economy
of the models they produce exceeds the standards set for that particular year.
Another noteworthy feature of the standards is that they provide special treatment to
vehicle fuel economy calculations for alternative fuel vehicles, as well as dual-fuel
vehicles.

Source: http://www.nhtsa.dot.gov/cars/rules/cafe/overview.htm

80
18. Fuel economy improvement measures in Japan

Japan’s fuel economy regulations are one of the two most stringent sets of fuel
economy standards in the world, the other being that of the European Union. It is a
weight-based system: vehicles must comply with standards based on the particular
weight class they belong to. The regulations specify 2010 as the target year for
gasoline vehicles, while 2005 was set for diesel vehicles. In this sense, it is expected
that there will be a 23 per cent improvement in the fuel economy of gasoline
passenger cars and 14 per cent improvement in diesel passenger cars. The
regulations also include penalties to manufacturers if standards are not met. Similar
to the U.S. CAFÉ standards, the Japanese standards in 2001 allowed manufacturers
to accumulate credits in one class of vehicles and use them for another weight class.
Recently, the government proposed that carmakers increase the fuel efficiency of
their cars by 23.5 per cent by 2015 under new regulations put forward by the Ministry
of Transport and the Ministry of Economy, Trade and Industry.

Proposed Average Fuel Economy

Vehicle class 2004 value 2015 est. value % change

13.6 km/litre 16.8 km/litre

Passenger Cars 7.4 l/100km 6.0 l/100km 23.5%
32.0 mpg US 39.5 mpg US
8.3 km/litre 8.9 km/litre
Small Buses 12.0 l/100km 11.2 l/100km 7.2%
19.5 mpg US 21.0 mpg US
13.5 km/litre 15.2 km/litre
Light Cargo Trucks 7.4 l/100km 6.6 l/100km 12.6%
31.8 mpg US 35.8 mpg US
Source: Based on information from Japan’s Ministry of Economy, Trade and Industry.

Other sources:
http://www.greencarcongress.com/2006/12/japan_proposes_.html

For a comparison of passenger vehicle fuel economy and GHG emission standards
around the world:
http://www.pewclimate.org/docUploads/Fuel%20Economy%20and%20GHG%20Stan
dards_010605_110719.pdf

81
19. China’s regulatory system to achieve fuel economy improvements

Realizing the serious implications of the rapid increase in oil use for local and
regional air quality and health, as well as its impact on global warming, China
adopted fuel economy improvement regulations from October 2004.

The regulatory policy was to be implemented in two phases – in July 2005 and in
January 2008 for new vehicles and in January 2009 for existing vehicles. This
stringent mandatory fuel economy system was based on transmission types and
weight, but each individual model must have eventually met the target for each of the
16 weight classes (no averaging was allowed). The regulations were more stringent
for heavier vehicle classes than for lighter vehicles, giving more incentives to
manufacturers to produce lighter vehicles. It also aimed to bring about changes in
buying habits and to introduce newer technology to Chinese vehicle manufacturers.
Although there were concerns that the standards could affect manufacturers’ plans
for introducing larger vehicles into the Chinese market, the average auto fuel
economy was required to increase by 5 per cent in 2005 and 10 per cent in 2008. An
increase in fuel efficiency will reduce GHG emissions from new vehicles to be sold in
China.

Sources: Based on Fuelling the Future: Workshop on Automobile CO2 Reduction and
Fuel Economy Improvement Policies
http://www.iea.org/textbase/work/2004/shanghai/UNEP_IEA.PDF

China's New Fuel-Economy Standards to Challenge Automakers

http://www.industryweek.com/ReadArticle.aspx?ArticleID=9128

Climate Change Mitigation Strategies for the Transportation Sector in China

http://www.hm-treasury.gov.uk/media/9/8/Final_Draft_China_Mitigation_Transport_
Sector_ Research.pdf

82
20. Private and public sectors join hands to provide incentives for Seoul’s
Car-Free Days Programme

Events similar to car-free days originated as a result of the 1973/74 oil crisis. October
1994 was a milestone in this regard when a call was made at a conference in Toledo,
Spain to reduce car dependence in cities. An informal World Car-free Days Consortium
was inaugurated in Britain in 1997. The first major nationwide movement of car-free
days started in France in 1998. Germany “upstaged” France by holding a car-free
event in 2000 when the EU’s Environment Directorate supported the event.
International car-free days are now held annually on 22 September. Other cities
outside Europe that hold these events include Jakarta, Taipei, Bogota and Toronto.
Bangkok held its first car-free day in 2001, but has not continued on a regular basis.

Whereas some cities with car-free programmes have gone to the extreme of banning
cars on a particular day or observing a day with a token campaign, Seoul’s version of
this programme – called the Weekly No Driving Day Programme – has incorporated
incentive measures. Originally proposed by an NGO in July 2003, the programme’s
operational and incentive measures include the following:

 Citizens voluntarily choose one day among weekdays as a no driving day

(0700 to 2200 hours) except on weekends and public holidays;
 Participants receive a set of e-tags and stickers; and
 Incentive measures to participants are provided by the public as well as the
private sector (non-commercial vehicles carrying less than 10 passengers are
eligible) as shown below:

Incentive Measures
By Public Sector By Private Sector
• 5 per cent reduction in auto-tax • 1-6 per cent discount on gasoline price
• 50 per cent discount on congestion • 10 per cent discount on car
charge maintenance cost
• 10-20 per cent discount on public • Free or discount on car washes
parking fees

Results

• a participant rate of 30 per cent;

• a decrease in traffic volume of 7 per cent;
• an increase in operating speed of 13 per cent;
• a reduction in emissions of 12 per cent;
• a reduction of particular matter (PM) of 10: 3.5 mg/m3; and
• an annual fuel cost saving of US$600 million

Lessons

• Financial incentive measures work better than a sole reliance on voluntary

action;
• IT/Internet use facilitated car users’ registering the choice of a day not to drive
and obtaining the e-tag and sticker to receive the discounts provided as
incentive measures; and
• An NGO campaign and public-private sector cooperation in giving incentives
produced good results.

Source: Based on Yeong-man (2007) and Matsumoto et al (2007).

83
21. Fukuoka’s multi-stakeholder initiative in car sharing to reduce CO2
emissions

Thousands of cars ply through city streets with only one passenger in them. Because
of this, car sharing systems have been receiving public policy attention for some
time.

The systems require use of a car by multiple individuals instead of one or two. In
practice, it can be seen as an organized short-term car rental. The first car sharing
system was reportedly introduced in 1987 in central Switzerland. Until recently, car
sharing organizations were established mainly in developed countries. In Asia, car
sharing schemes have been used in Singapore since the late 1990s and Japan since
the early 2000s.

The car sharing system is expected to gain more acceptance by citizens in cities with
serious problems caused by a shortage of parking space or experiencing a high cost
of owning, maintaining and driving a car. Areas with a high population density,
located near public transport stations and highly commercialized areas, etc., are
most suitable for locating car sharing stations.

A multi-stakeholder initiative that launched a car sharing system was introduced in

Fukuoka city on Kyushu Island, Japan in April 2001 with the aim of reducing
emissions from vehicles. These emissions made up more than half of the total of
2,030,000 tonnes of CO2 emissions by the transport sector.

How It started

A non-governmental organization named West Japan Ecology Network first started a

study group on car sharing in collaboration with Fukuoka city and the Kyushu Electric
Power Company. A car sharing institute was created by the joint action of the NGO,
the city and the company. With a consensus among the three parties, a new NGO
named the Car Sharing Network (CSN) was founded in May 2002. It launched
operations in October 2002 with a special focus on reducing the amount of traffic
coming into the Tenjin central business district. The ultimate objective of CSN is to
address global warming and to establish an ecological transport system by promoting
the sharing of car ownership and usage.

How It works

 CSN members include companies and associations as well as individuals.

Under the car sharing system, a member can make reservations to use the
shared vehicles for the hours needed and pay according to the time and/or
distance that he/she drives;
 There are five stations where the shared vehicles are parked. Each member
is issued an Integrated circuit (IC) card to use the system. When a member
wants to use a car, he or she makes a reservation by internet, telephone or
from a computer terminal at the station. The user can easily collect and return
the car key by using the IC card at an automated station terminal. Users do
not need to have personal contacts with system staff in order to use the cars.

Individual economic benefits

It is estimated that if an individual in Fukuoka purchased a new automobile with a

1500-cc engine and sells it five years later, the average monthly cost would be
47,443 yen, whereas if the person joins the CSN and drives a Hyper Mini for 30

84
hours per month, the monthly cost would be 19,000 yen. Therefore, for those who
generally drive short distances, there is a significant economic benefit.

Salient conclusions of the car sharing system in Fukuoka include the following:

• The creation of new markets is an important policy measure under the

system;
• A CSN system using a green power certification system as an economic
instrument encourages corporate and other customers to use renewable
energy in a voluntary manner for energy conservation and environmental
protection. The CSN also started buying power generated by wind, marking
the first recorded attempt of a car sharing business to use wind power;
• The CSN as a non-profit cooperative organization was created as a result of
the collaboration of an NGO, a city and a private company. The CSN also
succeeded in attracting frequent media attention from newspapers, local
television stations, journals, etc.; and
• The CSN succeeded in establishing an effective partnership with the local
community to locate its stations.

Lessons

 Car sharing operated by collaboration among the government, private

companies and an NGO is one possible way to start a car sharing business
on a small scale;
 Social acceptance is an essential element for this system to succeed;
 For ensuring continuing interest of users, a good mix of vehicles, particularly
lower emission vehicles, is needed; and
 It is also important to provide flexibility in terms of driving range and
passenger capacity.

Source: Based on Matsumoto et al (2007) and Matsumoto (2003).

85
22. Walking street programme in Bangkok, Thailand

The Bangkok Metropolitan Area has been undergoing rapid urbanization and
industrialization for the last few decades. An ever-growing vehicle fleet contributed to
serious traffic congestion and aggravated air pollution in the city. In late 2001, the
Energy Policy and Planning Office of Thailand (EPPO) granted a contract to King
Mongkut’s University of Technology Thonburi to develop and promote the walking
street concept in the country.

The Silom Walking Street was the first well-planned street closure project in Thailand
and was implemented in Silom, one of the most congested streets in Bangkok. The
project was launched through cooperation between the local government, academia
and the local community.

The project was initiated to:

 help road users understand the problems of air pollution and other types of
pollution created by vehicle use in urban areas;
 show-case the benefits of the roadway as a space for public activities;
 promote walking as a means of environmentally sustainable transportation
and promote local activities in the urban areas in Thailand.

During the project period, Silom Street was opened for walking and for public
activities every Sunday for seven consecutive weeks between 12 noon and midnight.
Part of its success lay in the concerted effort by the businesses involved in selling
along the street. As such, the project was easily adapted to the market-strolling
culture of Thailand. The street was also filled with a range of planned events, one
consisting of campaigns to educate and inform the public about conserving energy
and curtailing emissions from road traffic. This was complemented by private actors
and public entertainment. Measurements of air quality before and during the walking
street programme clearly showed a reduction of CO2 and particulate matter.

Other than improving air quality, the walking street programme also helped improve
the quality of life and the economy of communities located along and near Silom
Street.

Although the project was abandoned after just one year of its launch due to
insufficient traffic planning, it gave the impression that the walking street programme
could be applied to any large growing Asian city where air and noise pollution from
car usage are major problems. This concept has since been extended to other cities,
for example Pattaya, Nakhonratchasima, Phuket, Nakhonpratom and Chiang Mai
(Laosirihongthong et al 2004), with success.

However, the Silom case also demonstrated the need for a well-designed traffic plan
before closing any street for public use, as well as the need for sustained political
will.

Source: Based on Laosirihongthong T, Pattarapmuinikul S, Chaiwiriyachote A,

Tangpaisalkit C, Pant. A P, Kumar S and Shrestha R M (2004). Walking Street
Programme in Bangkok, Thailand. Asia-Pacific Environmental Innovations Strategy
Project (APEIS), Research on Innovative and Strategic Policy Options (RISPO), Final
Report (Vol. 3), March 2005, pp. 509 – 515, IGES, Japan.

86
23. Restoring Cheonggyecheon Stream in Seoul

Until recently, Cheonggyecheon, a stream inextricably linked to Seoul’s history and

running through the centre of the city from east to west, experienced heavy metal
pollution from transportation emissions due to the old and heavily used Chenggye
road that covered it. The road, 50-80 metres wide and approximately 6 kilometres
long, was completed in November 1984. The construction of the Cheonggye elevated
highway started in 1967 and was completed in 1976. The elevated highway was 16
metres wide and 5.8 kilometres long and was a four-lane, two-way highway
exclusively for automobiles. With the passage of time, these structures deteriorated
and polluted the stream’s bed.

As a result of public opinion and a recognition of the importance of Cheonggyecheon

Stream, in 2001 Seoul Mayor Lee Myung-Bak restated the idea of restoring the
stream. The restoration started in July 2003, and it is believed the project will
transform Seoul’s image by converting a once grey concrete environment to a lush
green city where clear waters flow.

The restoration measures involved the following:

 Traffic information facilities were introduced and traffic guides deployed to the
sites where there was serious traffic congestion;
 Construction of a two-lane road and two-metre wide sidewalk on either side of
stream was planned;
 A number of streets have been designated as one-way streets;
 Bus-only lanes were established and downtown shuttle buses operated for
the convenience of public transport users; and
 Car owners were encouraged to leave their cars at home one out of every ten
days.

The project restored 508 kilometres of waterways, pedestrian bridges and green
spaces. It also generated an opportunity for Seoul to expand its low-emission public
transportation system and to encourage wider use of public transportation, thereby
facilitating city activities without the need for cars.

Source: Based on Cheonggyecheon Restoration Project

http://www.wfeo.org/documents/download/Cheonggeycheon%20Restoration%20Proj
ect_%20Korea.pdf

87
24. Travel Feedback Programme (TFP) in Sapporo

Sapporo city centre in Hokkaido, Japan has been facing traffic congestion problems,
largely due to traffic coming from the suburbs. The Hokkaido Regional Development
Bureau tried various travel demand management measures but could not reduce
traffic substantially. The Travel Feedback Programme (TFP) was developed by the
Hokkaido Development Engineering Center in collaboration with academic scholars,
based on the Travel Blending Programme in Adelaide, Australia. Attempts were
made to implement several parts of the TFP from 1999 to 2000.

The TFP in Sapporo implemented two different programmes: a Community

Programme for local community associations and an Education Curriculum
Programme for the elementary education level. These targets were selected so that
awareness would be raised, not only on an individual but also on a family and/or
community basis. The sole objective of the programme was to facilitate changes in
travel behaviour so as to reduce the use of automobiles and lessen problems caused
by traffic. Participants in the TFP submitted their travel records to the programme
coordinator and received feedback in the form of processed data concerning their
travel activities, including information of CO2 emissions from their vehicles.

The TFP regularly conducted meetings with local communities and gave lectures to
elementary school classes. Participants were provided with explanatory pamphlets
and survey materials (Diary 1) and asked to fill them in for seven consecutive days in
collaboration with their families. Based on the results of the survey materials,
participants were provided with comments under the feedback system. Students
were also asked to calculate the CO2 produced by their own activities. This process
continued for another week with the same survey materials (Diary 2). The difference
in CO2 emissions between their two diaries for each mode of transport was
calculated, and the results were shared with the participants.

Critical instruments used for the TFP in Sapporo included personal feedback on
transportation activities and relating the feedbacks in class lectures. Filling the TFP
diaries generated active discussions within the family. Comparisons between Diary 1
and Diary 2 showed significant changes in participants’ travel patterns, along with a
reduction of CO2 emissions. If properly designed and applied at community levels, it
was clear that the TFP could reduce automobile use as well as environmental
damage and have long-term effects. Along with the availability of alternative
measures of transportation, the TFP would also be able to contribute to the reduction
of CO2. The TFP has potential as an instrument to use in areas where reliable
transport alternatives such as bus and/or rail are readily available and where
automobiles are mainly used for shopping and leisure.

Source: Based on Matsumoto N. (2004). Awareness Raising for Wise Use of

Automobiles by the Travel Feedback Programme, Sapporo. Asia-Pacific
Environmental Innovations Strategy Project (APEIS), Research on Innovative and
Strategic Policy Options (RISPO), Final Report (Vol.3), March 2005, pp. 474-79,
IGES, Japan.

Matsumoto N. King P. N. and Mori H, (2007). “Policies for Environmentally

Sustainable Transport”. International Review for Environmental Strategies, Vol. 7(1),
pp. 97 – 116.

88
25. Wind-powered commuter system in Calgary, Canada

The City of Calgary is known worldwide as a pioneer in the use of renewable energy
in mass transit. The C-train is Calgary's light rail transit system, one that once was
powered by coal and natural gas, but that now runs on electricity. Thousands of daily
commuters board the C-Train to go to school, to work, to shop and more. In
September 2001, based on this success, the City of Calgary announced its decision
to use commercial wind energy as the primary source of the C-train's electricity. The
programme is called “ Ride the Wind”, since the users of C-Train are actually
traveling with the help of energy captured from the wind. The project was fully
approved by City Council on February 12, 2001.

The highlights in the history of the project are as follows:

 Vision Quest (a power generation and wholesale marketing company)

entered into a contract for green energy with Enmax;
 Enmax entered into an agreement with City Transit to deliver the wind power
to the LRT;
 All emission reduction credits were transferred to City Transit via Enmax;
 Ten new wind turbines were financed, constructed, owned and operated by
Vision Quest; and
 The new wind turbines started delivering clean wind power by August 31,
2001.

Calgary sources note that before the switch to wind power, the C-Train's energy
supply accounted for about 20,000 tonnes of greenhouse gases and other forms of
air pollution every year, less than 1/10 of the pollution that would have resulted if all
C-Train passengers had driven in their own cars. Under the Ride the Wind
programme, these emissions have been reduced to practically zero. This makes the
C-Train one of the most environmentally friendly forms of transportation.

Calgary officials claim that the C-Train contributed greatly to solving traffic problems.
There are a total of 116 light rail vehicles, and each day riders board the C-Train
189,000 times. If each commuter had travelled alone in his or her car instead of on
the C-Train, the daily mileage would have amounted to 1.2 million kilometres. These
car commuters would have used 107,000 litres of fuel and produced some 270,000
kg of carbon dioxide, nitrous oxide, carbon monoxide and other pollutants.

Unlike fossil fuels, wind energy is pollution-free and virtually limitless. Wind turbines
have become efficient and reliable. Wind energy facilities can also be installed faster
than any other large-scale electricity generating technology. Using this feasibility
context, wind energy can be considered as a substitute for commonly used
conventional energy sources in the transportation sector.

Source: Ride the Wind!TM

http://www.re-energy.ca/ridethewind/about.shtml
http://www.re-energy.ca/ridethewind/backgrounder.shtml

89
26. Electric trolleybus system in Quito, Ecuador

In the 1990s, Quito, the capital of the Republic of Ecuador, experienced large
population growth along with an increased demand for transportation. As a
consequence of the inability of the public transport system to meet the increasing
demand, the number of private cars substantially increased. This, together with an
existing old and poorly maintained bus fleet, gave rise to a significant increase in
congestion and air pollution, which considerably degraded the environment of Quito.

The trolleybus system was chosen as the most cost-efficient and sustainable
transport solution for Quito compared with other alternatives such as metro and a
Light Rail Train (LRT). The construction of the integrated electric trolleybus system
started in 1994. The system is driven by electricity supplied by the Quito Electricity
Company, and the trolleybuses run along a reserved lane going between the south
and north of the city. The development and implementation involved the Municipality
of the Metropolitan District of Quito, the Operating Unit of the trolleybus (UOST), the
Municipal Transportation Bus Company and the Transportation Planning and
Management Unit. This project was financed by the Spanish Development Fund and
by the Spain’s Banco de Bilbao Vyzcaya. The operation and maintenance costs were
covered entirely by fares endorsed by the municipality.

The trolleybuses run on an exclusive lane, making the transport of their passengers
extremely smooth. Some supporting policies implemented along with the trolleybus
system were the following:

 integration with feeder buses, allowing passengers to reach most areas of

Quito;
 implementation of a one-month free ride, which gave the population the
possibility to use the system and test its reliability and convenience;
 very low fares (a reduced tariff for the elderly, disabled and infants) were
introduced to increase the affordability for the low-income population. A single
fare policy, which allows passengers to transfer to feeder buses using the
same payment, was applied in order to increase the system’s attractiveness;
and
 frequent inspections by UOST under the Municipality of Quito’s direction
allowed the trolleybuses to run in a continuous and reliable way.

Quito’s trolleybus system is considered to be one of the world’s most successful

urban transport solutions. The integrated system has substantially decreased the use
of private vehicles, decreased congestion, reduced air pollution, reduced travel time
and allowed for better traffic flows due to the elimination of the old bus system.

An environmentally sustainable transport option such as the trolleybus system may

constitute a feasible solution for medium-sized cities in developing countries. In
contrast with other alternatives such as metro and LRT, the trolleybus represents an
affordable and cost-effective transport mode.

Source: Based on Rogat, Jorge (2003). The Electric Trolleybus system of Quito,
Ecuador. Asia-Pacific Environmental Innovation Strategies, Research on Innovative
and Strategic Policy Options.

90
27. Shift From leaded to unleaded gasoline, Thailand

The City of Bangkok, Thailand experienced the impacts of air pollution heavily in the
1990s. Air pollution in the city and the metropolitan area came from industrial
sources, energy, construction, household emissions and mainly the transport sector.
The transport system in Bangkok spread over a vast area, and people had to travel
longer distances to get to their places of work and business. Emissions from millions
of vehicles plying the city streets polluted the air and led to serious impacts on
people’s health.

The government tried to control the harmful emissions by phasing out leaded
gasoline and, at the same time, lessening the sulphur content of fuels in the short
term and improving air quality in the medium term. The solution was to shift from
leaded to unleaded gasoline, and the success of the change illustrates the effective
use of environmental management measures.

The government proceeded by promulgating regulatory measures to reduce the lead

and sulphur dioxide content of fuels over a period of time. In 1993, unleaded gasoline
was introduced and in 1996, all types of leaded gasoline were completely phased
out. From 1993 to 1999, there was a significant reduction in the sulphur content of
diesel. Suasive measures were also utilized by making information available in both
printed and TV media, which explained the impact of air pollution on people's health
and the need for changes. This public awareness campaign helped citizens to accept
the use of unleaded gasoline. Moreover, when unleaded fuel was introduced,
economic measures were put in place to make the use of it favourable when
compared to leaded gasoline, which was still available during the transition period.
These measures included increasing the tax on leaded gasoline and making the
price of unleaded gasoline less expensive, an example of internalizing the cost of
pollution. The combination of regulatory, economic and suasive measures led to a
relatively quick switch from leaded to unleaded fuel, particularly in Bangkok.

Source: Based on Amin, A.T.M. Nurul, Soparatana Jarusombut, Trinh Thi Bich Thuy
and Worawan Thanaprayochask (2006). Environmental Management Measures for
Influencing Human Behaviour. Regional Development Dialogue, 27(1):85 – 100.

91
28. Bio-fuels in Thailand: momentum in E85 adoption

Thailand started using E85 ethanol fuel to replace petrol. It was the first country in
Asia to announce a national policy for bioethanol (2000) and biodiesel (2001).
Experiments using E85 were carried out using research and development incentives,
and this has made E85 widely available in the country. Currently, E10 and E20 fuels
are available under names such as gasohol.

The government also established policies to promote the production and utilization of
E85. Among these was the Board of Investment’s decision to build a fuel ethanol
plant, a waiver of the excise tax for the ethanol blended in gasohol, a low rate of fund
levy and market incentives making the price of E85 much less expensive than other
fuels sold in Thailand.

However, a number of issues still hamper the swift adoption of E85. The automobile
industry is clamouring for more incentives to manufacture E85 cars, and there is still
no clear directive on the type of fuel to be used, whether E10, E20 or E85; the energy
industry is still asking for the government’s position on this matter.

Ethanol is produced from sugar cane and tapioca. The use of sugar and tapioca has
to be considered carefully, since these products are also needed for food production.
Another issue concerns the availability of refineries to produce E85. Present
refineries for E10 and E20 fuels are seen as practical, but if E85 production is
boosted, refineries specifically outfitted for E85 production have to be constructed.
Moreover, although suppliers are ready for the sale of E85, pricing it is still an issue.
In short, more needs to be done to make the utilization of E85 beneficial to both
producers and consumers. The government also has to rethink its policy on E85, as
well as to design more incentive measures that ensure the viability of ethanol-based
fuels.

Source: Based on Boondor Sajjakulnukit, Bio-fuels in Thailand, presentation to the

Asean-U.S. Enhanced Partnership, Biofuels and the Automotive Industry Seminar,
October 24, 2007 and Achara Deboonme, “Suppliers ready for E85 fuel, but pricing
still an issue”, an article in the Bangkok daily, The Nation, June 6, 2008.

92
29. Transport air quality management project: Mexico’s increase in gasoline
prices to make CNG the least expensive fuel

The Transport Air Quality Management Project in Mexico City, a project to ensure the
environmental sustainability of the Millennium Development Goals, was funded and
spearheaded by the World Bank. The principal objective of the project was to support
a comprehensive programme to reduce air pollution in the Mexico City Metropolitan
Area. Other objectives included improving fuel quality and restraining car use.

The project had five interrelated components:

Vehicle component: This component included the following:

 development and enforcement of emission standards;

 progressive improvements to in-use emission standards;
 lines of credit to finance the replacement of old high-fuel use vehicles with
new vehicles; and
 improvement of the vehicle registration system.

Fuel component: This component included the following:

 installation of vapor recovery systems at service stations; and

 alternative fuel pilot programme for vehicle conversion.

Transport policy and management component: This component involved preparing

an integrated transport and air quality management strategy that meets the
objectives of air quality and transport.

Scientific base component. This component aimed at strengthening air-quality

planning through an integrated research plan and the development of equipment to
extend the air-quality monitoring system.

Institutional strengthening component: This involved capacity building for technical

support teams and agencies charged with air pollution independent annual
environmental audits.

The project was implemented through measures on the transport demand side as
well as on the supply side. On the demand side, gasoline prices were increased in
order to make unleaded gasoline competitive in the market. The use of CNG was
also enhanced by making it the least expensive among all available fuels. On the
supply side, vehicles were retrofitted to run on CNG, and existing taxis were replaced
by more efficient models running on clean fuels. Fuels were also reformulated, and
the use of clean fuels for all vehicles was encouraged. The use of cleaner fuels
created an impact on emissions and contributed to the improvement of air quality in
the metropolitan area. Although the project encountered some difficulties, it was fine-
tuned over time.

Sources: Based on World Bank (2008). Transport Air Quality Management Project for
the Mexico City Metropolitan Area
http://web.worldbank.org/external/projects/main?pagePK=64283627&piPK=73230&th
eSitePK=40941&menuPK=228424&Projectid=P007694

Heil, Mark and Pargal Sheoli (1991). Reducing air pollution from urban passenger
transport: a framework for policy analysis. World Bank, Washington, D.C.
http://www-
wds.worldbank.org/external/default/WDSContentServer/IW3P/IB/1998/11/17/
000178830_98111703524419/Rendered/PDF/multi_page.pdf

93
30. Leaded to unleaded gas: using three sets of simultaneous incentive
measures in Vietnam

Vietnam’s switch to unleaded gasoline has been seen as a success that was
attributed to the comprehensive use of environmental management measures. These
included the provision of economic incentives, issuance of regulatory and
administrative directives and charges and initiation of public awareness campaigns.
Although an initial attempt to eliminate leaded gasoline began in 1995 with the
introduction of transport-related environmental regulations, the implementation was
stalled due to concerns over the possible high cost of switching and the fear that a
large number of vehicles in the country would be deemed inoperative for unleaded
gasoline without major modifications to their bodies and engines.

The views opposed to the project raised issues in the print and TV media concerning
the thousands of older automobiles and millions of motorcycles in the country. In
1999, the Canadian International Development Agency (CIDA) sponsored a
workshop on this subject attended by journalists and reporters from various local and
national newspapers. The workshop and subsequent follow-up activities started
changing the public’s view of the need to switch from leaded to unleaded gasoline. In
November 2000, the Deputy Prime Minister, Nguyen Tan Dung, issued directives
targeting the three environmental management measures, as shown below.

Regulatory measures:
Concerning “Switching to Unleaded Gasoline in Vietnam”, the directive stated that
leaded gasoline would cease to be used by 1 July 2001.

Suasive measures:
A workshop in February 2001 was held to prepare a public information plan. Posters
were also prepared and distributed to gasoline stations in time for the 1 July 2001
fuel switch.

Economic measures:
A subsidy for the importation of unleaded gasoline was put in place. Taxes on the
importation of octane used by domestic fuel refineries were reduced.

The interplay of the regulatory, suasive and economic measures allowed Vietnam to
switch from leaded to unleaded gasoline on schedule, avoiding a lengthy and costly
phase-out programme.

Source: Amin, A.T.M. Nurul, Jarusombut Soparatana, Trinh Thi Bich Thuy and
Thanaprayochask, Worawan. Environmental Management Measures for Influencing
Human Behaviour. Regional Development Dialogue, Vol. 27, No. 1, Spring 2006.

94
31. Vehicle emissions control technology – European Union (EU) member
countries

Vehicle emissions control can be undertaken in various ways. One of them is through
the use of emission control technology, which aims at reducing emissions by means
of technology such as exhaust controls, exhaust gas recirculation and the like. To
enforce limits on the emissions of new cars and vans sold in the European Union
(EU), the European Commission (EC) has made it mandatory by 2012 for new cars
to emit on average only 120 g/km of CO2. The regulation came into effect on
February 7, 2007.

Vehicles currently emit an average of 163 g/km, but the trend to more and larger cars
will result in increasing emissions from road transport. Statistical data reveals that in
the EU member countries road transport emissions increased by 26 per cent
between 1990 and 2004. The sector is now responsible for around 12 per cent of the
EU's total CO2 emissions.

The newly adopted measure includes the following:

 a legislative framework to reduce CO2 emissions from new cars;

 support for research efforts to further reduce emissions from new cars to an
average of 95 g/km by 2020;
 fuel-efficient vehicles to be promoted by, for example, encouraging the
reduction of taxes on low-emission models;
 inviting auto manufacturers to sign an EU code of good practice (by mid-
2007); and
 EU-supported research efforts to further reduce emissions from new cars to
an average of 95 g/km by 2020.

Sources: Based on (1) European Commission website,

http://europa.eu/rapid/pressReleasesAction.do?reference
=MEMO/07/46&format=HTML&aged=0%3Cuage=EN&guiLanguage=en

(2) The Guardian Online Newspaper website,

http://www.guardian.co.uk/environment/2007/feb/07/business.motoring

(3) Tightening of emission standards from new vehicles is best way to reduce mobile
source pollution; Limits on vehicle emissions proposed by Europe, NewScientist.com
news service, 17:19 07 February 2007 [Online]
http://environment.newscientist.com/article/dn11127

95
32. Vehicle emissions control: green purchasing – Japan

Japan introduced the “Low Emission Vehicle Initiative” as an action-based

programme based on a law passed to promote green purchasing. The initiative
required all vehicles used for administrative purposes in all ministries and agencies
(c.a. 7000 vehicles) to be replaced with low-emission vehicles by fiscal year 2004.
The “Low Emission Vehicle Initiative” was implemented based on the Law on
Promoting Green Purchasing, which was enacted in May 2000 to promote green
purchasing by the public sector. Under the law, central and local governments and
other national entities, which have important purchasing power in the national
economy, are expected to take the lead in purchasing environment-friendly goods
and services, including energy-efficient products. They are also expected to assist in
the effort to encourage the purchase of low-emission vehicles by other citizens.

As part of the programme, low-emission vehicles (fuel-cell vehicles) have been

adopted as official cars by various government ministries. In the green purchasing
programme, the number of low-emission vehicles (LEVs) being used by ministries
and agencies was 1,676 in FY 2003; the total number of government-owned LEVs
was 4,407 as of March 31, 2004, and it gradually increased over time. The
percentage of LEVs as official cars owned by governmental ministries and agencies
now represents approximately 73 per cent of total official cars.

The use of LEVs as required by the green purchasing programme has contributed to
the reduction of emissions from mobile sources. More importantly, the government
has set a example to its citizens concerning the need for environmental awareness.
From the viewpoint of good governance, the examples policy makers set are
important, because they have a significant impact on public attitudes.

Sources: Based on Takeshi SEKIYA (2001), emission reduction initiatives in the

public sector in japan, Ministry of the Environment, Japan, Office of International
Strategy on Climate Change, Workshop on Good Practices in Policies and
Measures, 8-10 October 2001, Copenhagen [Online]
http://unfccc.int/files/meetings/workshops/other_meetings/application/pdf/sekiya.pdf

Ministry of Environment, Government of Japan website.

http://www.env.go.jp/en/press/2005/0529a.html

Promoting an Energy-efficient Public Sector website.

http://www.pepsonline.org/countries/japan.html

Ministry of Environment, Government of Japan website.

http://www.env.go.jp/recycle/3r/en/info/09.pdf

96
33. Private sector vehicle inspection and maintenance – Mexico City

Mexico City’s Vehicle Inspection Programme (revised in 1997) required mandatory

testing for vehicle emissions in Mexico City. The testing element was first introduced
in 1988. Initially, it was performed in government test-only centres as well as in
private garages that were permitted to both test and repair. The new protocol – the
accelerated simulation mode – aimed at generating more certain test results and
permitted the use of tighter standards, thereby reducing false approvals.

The programme included the following:

 a legal and regulatory framework that allowed independent monitoring of the

testing stations;
 an easily monitored certificate for passing the test;
 testing technology capable of preventing temporary tuning; and
 the optimal number of centres relative to the volume of traffic to be tested.

The evolution of programme measures in Mexico City is chronologically shown below

(Kojima and Bacon, 2001):

1982: Voluntary inspection programme initiated, operated by the Mexico City

government
1988: Mandatory annual emissions inspection introduced for 1982 and earlier
models; test-and-repair centers authorized
1989: “Day without a car” programme initiated
1992: Mandatory testing introduced for all vehicles
1993: Test-only centres operated by the Mexico City government closed, multi-lane
“macro-centres” opened and dynamometre tests introduced for all vehicles
not privately owned
1994: Emissions standards tightened
1996: Test-and-repair centers closed. New “verificenters” authorized. “Double day
without a car” programme started. Emissions standards tightened further
1997: “Clean” cars exempted from “day without a car” programme. More
verificenters authorized. Requirement that vehicles registered in the Federal
District be tested there lifted. Hybrid testing protocol (based on acceleration
simulation mode) started in second half of year
1999: New testing procedure fully adopted, replacing catalytic converters mandatory
for 1993 models and emissions standards modified
2000: Standards for nitric oxide introduced, replacing catalytic converters mandatory
for 1994 and 1995 models
2001: Requirement that vehicles registered in the Federal District be tested there re-
imposed

The Mexican experience shows that a staged emission control programme that
comprehensively addresses various measures is required to progressively deal with
vehicular emissions. As a result, air quality in Mexico City has improved, although it
is still considered one of the most polluted cities in the world.

Sources: Based on Kojima, M. and Bacon, R. (2001), “Privatizing Vehicle Inspection

and Reducing Fraud in Mexico City”, Emission Control, The World Bank Group,
Private Sector and Infrastructure Network, No. 238 [Online]
http://rru.worldbank.org/documents/publicpolicyjournal/238Kojim-831.pdf and
World Bank (2001), available online at
http://www.worldbank.org/transport/urbtrans/cities_on_the_move.pdf

97
34. Traffic signal control for reducing vehicle CO2 emissions – Kawasaki
City, Japan

Kawasaki City, Japan has applied a traffic flow simulation model to obtain an
improvement in wide area traffic flows. The simulator was established to obtain an
estimated figure of CO2 emissions generated by travelling vehicles and to consider
the state of each vehicle. An analysis of relations between CO2 emissions, delay time
and the number of stops at intersections was performed with the simulator, which
resulted in a proposal for a new traffic signal control method to reduce CO2
emissions. The simulation resulted in a reduction of these emissions of roughly 7 per
cent from the levels of the exhaust gas produced by the current traffic signal control
method.

Source: Based on Traffic Signal Control for Reducing Vehicle Carbon Dioxide
Emissions on an Urban Road Network, Toshihiko Oda, Masao Kuwahara and
Satoshi Nikura
[Online] http://www.transport.iis.u-tokyo.ac.jp/PDFs/2004/2004-013.pdf

98
35. Tehran transportation emission reduction project, Tehran, Iran

In 1993, the World Bank estimated that in Tehran, Islamic Republic of Iran, urban
transport operations consumed an estimated 2.0 million tons of gasoline/diesel fuel
per year, releasing around 6 million tonnes of CO2 into the atmosphere. Transport
operations generated almost as much carbon emissions per capita (0.7 tonnes per
annum) in Tehran as in Mexico City (0.9 tonnes per annum), which suffers from one
of the world’s most serious air pollution problems.

Various efforts to reduce the emissions released by the transportation sector were
undertaken. The emission reduction project contained measures to better urban air
quality. The measures included the following:

 emissions inventory and air quality monitoring;

 traffic management and restraint;
 vehicle fleet and fuels improvement;
 strategic urban planning for transport emissions reduction; and
 project support and conducting a transport and air quality seminar.

Tehran authorities have assessed the above measures and consider that they will be
able to meet their objectives, namely to reduce greenhouse gas emissions from
vehicular traffic, while improving local air quality.

Source: Based on World Bank (1993), Global Environment Facility, Tehran

Transportation Emission reduction Project,
[Online] http://www-
wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/1993/10/01/00000
9265_3961219142740/Rendered/PDF/multi_page.pdf

99
36. Vehicle emissions control – Beijing, China

Until 1998, Beijing had no emission standards or emission control measures. As a

result, it was one of the top ten cities with the worst air pollution in the world. In
Beijing, emissions from motor vehicles were pinpointed as one of the three main
sources of pollution. Rapid growth of the vehicle stock in the city was one of the
reasons; in 1998, the vehicle stock amounted to 1.4 million, and it was growing at a
rate of 25 per cent annually.

A series of actions were carried out starting in 1998 to reduce air pollution caused by
motor vehicles. One of these was to implement more stringent tail pipe emission
standards. Accordingly, the Emission Standard for Exhaust Pollutants from Light-duty
Vehicles was issued, and took effect from 1 January 1999.

The efforts to control vehicular emissions in Beijing included the following:

 Tail pipe emissions from new light duty vehicles were mandatorily required to
meet emission standards. The European Union EU-I standards entered into
effect in January 1999. EU-II standards were introduced in January 2003;
 Stringent regulations for disposal of older vehicles were implemented,
requiring the scrapping of all old and badly polluting taxis before September
1999;
 Beginning in January 1999, newly manufactured vehicles that could not meet
the new standards were not allowed to be sold. Three-way catalyst
mechanisms and electronic jet equipment were installed in new vehicles
unable to meet the emission standards before they were sold;
 By the end of 2001, 190,000 gasoline-powered vehicles registered before
1995 were retrofitted with electronic fuel injection equipment and three-way
catalyst mechanisms;
 Inspections of on-road vehicles were enhanced. Vehicles that were not able
to meet the emission standards were penalized;
 All vehicles were classified in three categories: green, yellow and red. Green
label vehicles were considered to be environment-friendly and were
exempted from random inspections. Owners of vehicles with yellow labels
were asked to make the necessary changes within a limited time period.
When air pollution was severe, vehicles with red labels were not allowed to
operate;
 Since 2003, all vehicles have had to pass annual inspections in order for their
owners to obtain a green label, which has to be visible on the front windshield
of the vehicles.

Simultaneously, measures with technology and economic (fiscal) incentives were

introduced. These included the following:

 Technology was employed to obtain high-quality fuel standards: The first

step, in June 1997 was the provision of unleaded gasoline. In order to
introduce and meet the emission standards of European Standard III in 2007,
fuel providers were asked to produce cleaner gasoline and diesel before
2007;
 Fiscal incentives: Beijing encouraged vehicle sales and focused on fiscal
incentives such as tax deductions for new vehicles meeting enhanced
emission standards. These strategies and measures have had an impact on
the control of vehicular emissions. Since late 2001, a 30 per cent tax
deduction has been awarded to owners of light duty vehicles meeting Euro II
standards.

100
 Documented information suggests that Beijing’s thrust for air quality improvement
has been maintained since the Olympic Games of 2008. A 2009 report shows
that a variety of measures are in place (NRDC 2009) to improve the air quality of
the city.

Sources: Based on Songli, Z and Jiang Kejun (2003). Emission Control in Beijing.
Institute for Global Environmental Strategies (IGES), ‘Emission Control Measures in
Beijing, China”, “Good Practices Inventory”, Asia-Pacific Environmental Innovation
Strategies (APEIS), Research on Innovative and Strategic Policy Options (RISPO).

Hao, J. (2004) Sub-workshop session 15: Air quality Management Policies and
Implementation, Progress of Beijing in Controlling Vehicular Emission.
[Online]
http://www.walshcarlines.com/china/Vehicle%20Emissions%20Control%20in%20Beij
ing%20JimingHao.pdf

Hao, J.; Hu, J and Fu, L ( 2007), Controlling vehicular emissions in Beijing during the
last decade, Centre National de La Recherche Scientifique
[Online] http://cat.inist.fr/?aModele=afficheN&cpsidt=17836276

101
37. Vehicle emission controls – Shanghai, China

Tail pipe exhaust pollution from vehicles has become one of the main factors
affecting the air quality of Shanghai. According to statistical data, by 2002 there were
a total 1.4 million vehicles in the city, and the numbers were increasing at an annual
growth rate of 14 per cent. Annual emissions of NOx from vehicles were about
128,000 tons, 1.33 times higher than the norm.

To cope with the air quality degradation, the following measures were taken:

 Improvement of the environmental performance of vehicles. Shanghai

implemented a national second-phase emission limit for vehicles (equivalent to
the EU-II emission standard) in March 2002. The owner of any vehicle that did
not meet the standard in its category could not obtain a licence. Besides the
stricter emission standards on vehicles, the government also strengthened the
monitoring and maintenance of current-use vehicles and promoted the
elimination of old vehicles;
 Prohibiting the operation of motorcycles. There were 640,000 registered
motorcycles in Shanghai, accounting for about 55 per cent of all vehicles. The
emission generated by motorcycles is quite high because of the low-level
technology used in manufacturing them. The local government prohibited the
operation of two-wheel motorcycles on main roads and in some other regions;
 Controlling the number of vehicle licences for private use. Early in 1990,
Shanghai introduced regulatory instruments directed at the selling and
certification of new private vehicles. The measure’s purpose was to limit the
total number of annual new vehicle licences for private use and to sell new
licences using an auction system. When the policy was first implemented, the
licences were auctioned off at a base price. Since October 2002, licences for
domestic and imported vehicles have all been auctioned off without a base
price;
 Air quality control planning. The city’s Air Environment Protection Plan was
announced in 2001 with the “Tenth-Five Year Plan”. Counter measures dealing
with emission controls from transport were listed, including further adoption of
emission standards, emissions testing of existing vehicles, limits on the
operation of heavily polluting vehicles, more clean-fuel buses and taxies and
improvements in public transport;
 Transportation planning. A “public transport first” policy was formulated. The
local government established and continues to improve policies involving
planning, investment, taxation and the management of vehicles. A rail
transportation network composed of subway, urban light rail and new-model
trolley car systems was promoted to make rail transportation the core of urban
public transit;
 Environmental friendly public transit. In order to mitigate pollution from public
vehicles, public transport departments selected environmentally sound buses
with good performance that met the EU-II standards; and
 Use of unleaded gasoline. Starting in 1997, unleaded gasoline was used in
Shanghai, and the use of leaded gasoline was prohibited.

With the above measures, various pollutants discharged by mobile sources have
been significantly reduced. CO, HC and NOx were reduced by 30, 50 and 50 per
cent respectively in the city, leading to a significant improvement of air quality.

Source: Based on Liuqiang (2003). Emissions control measures in Shanghai, China.

Institute for Global environmental Strategies (IGES), ‘Emission Control Measures in
Shanghai, China’, ‘Good Practices Inventory”, Asia-Pacific Environmental Innovation
Strategies (APEIS), Research on Innovative and Strategic Policy Options (RISPO).

102
38. Bus pass programme in Ann Arbor, Michigan, USA

The high price of parking space for automobiles combined with significant growth in
traffic congestion in the downtown area led the city of Ann Arbor, Michigan to
establish a bus pass programme. The programme, called “Get Downtown”, was
launched in 1999 and involves a partnership between the Ann Arbor Downtown
Development Authority, the Ann Arbor Area Chamber of Commerce, and Ann Arbor
Transportation Authority (AATA). The programme was financed by a Congestion
Mitigation and Air Quality Improvement Programme grant. During the first two years,
it offered free unlimited use bus passes, called “go!passes”, to all downtown
employees. At present, the Get Downtown programme offers the passes to all
downtown businesses at a cost of US$5 per employee; the remaining cost per pass
is subsidized by the Downtown Development Authority.

A complementary regulation that requires employers to provide all full-time

employees with go!passes is also being implemented. The programme has resulted
in a 10 per cent reduction of downtown car use, US$200,000 of annual savings in
fuel costs and a 734 tonne reduction of greenhouse gas emissions per year.

In an effort to minimize impacts on the environment, AATA began the process of

converting its entire bus fleet to hybrid electric technology when it introduced its first
15 hybrid electric buses in October 2007 and an additional five in March 2008. The
buses feature a combination of a battery-powered electric motor, to provide most of
the power at slower speeds, and a smaller clean-diesel engine that takes over at
higher speeds. AATA says that the use of hybrid electric buses strengthens its
commitment to protecting the environment by burning less fuel and emitting fewer
pollutants into the air. AATA plans to continue this conversion over the long term as
older buses reach their 12-year life expectancy.

Source: Based on Ann Arbor Transportation Authority website

http://www.theride.org/faq.asp retrieved on 19 November 2008.

103
39. Van transit system in the Bangkok Metropolitan Region, Thailand

The Bangkok Metropolitan Region (BMR) Authority has established a van transit
system to meet transport needs in very congested areas as well as for travel
between city centres and suburban areas. First initiated in 1995, the system has
been so popular that the number of vans increased from a few hundred in 1995 to
about 8,300 in early 2004. The service was provided by private operators in BMR
and supported by fares received from customers. There is no funding from
government agencies.

Van transit operates on public streets and expressways in mixed traffic. The routes
are fixed by the operators themselves based on the principle of supply and demand.
They are designed to offer the shortest travel time between origin and final
destination by having only two stops.

Some supporting instruments implemented included the following:

 The design and plan developed need-responsive routes where the needs of
the customer travel had not been addressed;
 The system was based on self-regulation by establishing a service providers
association; and
 The design’s operation policy allowed the system to accommodate
passengers at full capacity with comfortable seating and in a pleasant
environment.

The van transit system has created a new means of transportation by the BMR and is
considered to be an efficient and effective mode of transport in terms of cost and
energy savings. The service has attracted a large number of private car operators, as
well as bus users who could have switched to private vehicles if the van service had
not been available. Estimates are that in 2004 there were approximately 800,000
users of the van system per day. The system now plays an important role in
promoting ride sharing for mobility in congested areas serviced by the BMR. As a
result, it is expected that the service will help reduce traffic congestion.

Source: Based on Laosirihongtong, T., Pattanapairoj, W., Kunasol, B., Pant, AP.,
Kumar, S., and Shrestha, RM. (2004). Van Transit System in Bangkok Metropolitan
Region. Asia-Pacific Environmental Innovation Strategies, Research on Innovative
and Strategic Policy Options.

104
40. Public transportation system in Beijing, China

To improve air quality in the city, the Beijing government decided to focus on
developing a public transport plan for the new century and launched a detailed
project with a focus on the Mass Rapid Transit System (MRTS). The programme also
relies on integration with public bus service, subway and light railway. The plan was
developed in 1998 and involved the city government as well as the Urban Research
and Planning Institute. Its main objectives were to create a good transport system in
time to host the 2008 Olympics, to improve the efficiency of urban transport in Beijing
and to create a service accepted by the public.

The development of a public transport system required the integration of some

measures as following.

 In the effort to create a well-designed city planning programme with public

transport as its top priority, an international bidding system to modify the
existing MRTS construction plan was implemented;
 The programme allowed for public involvement in price-setting as an
economic instrument. Although bus and subway fares are decided based on
cost, the public was able to participate in the process;
 Competition was introduced in the provision of public transport by the private
sector.

Some impacts of the programme have been identified. These include improved air
quality, reduced downtown traffic congestion, reduced oil consumption because of
the operation of the MRTS and economic development along the MRTS line.
However, the development of the MRTS involved high construction costs and
substantial investments. Two ways to solve these problems were seen to be lowering
construction costs through institutional and technological innovations and raising
funds through innovative financing.

The drive to improve Beijing’s air quality was stimulated by its hosting the 2008
Olympics. Some observers claimed that the city’s efforts had been exaggerated and
were only public relations devices to coincide with the games; however, a 2009
report suggests that Beijing has not relaxed its drive to improve the quality of its air. A
variety of measures, including phasing out of high polluting vehicles, discounting car
loans to purchasers of green label cars and introducing cleaner buses have been
implemented.

As a result of the programme, urban air quality has improved as demonstrated by the
gradual reduction of NOx and CO over the years despite a gradual increase of
number of vehicles in the city.

Sources: Based on Songli, Z, Shengmin, Y, and Kejun, J (2003). Development of

Public Transportation System in Beijing China. Asia-Pacific Environmental Innovation
Strategies, Research on Innovative and Strategic Policy Options.

Natural Resources Defense Council, “After Olympics, China Still Worried About
Clean Air for Beijing”, The Earth’s Best Defense – June 19, 2009.

105
41. Rail-based mass rapid transport system in Shanghai, China

The Shanghai municipal government has invested in the construction of urban

transportation by developing a rail-based MRTS in the city. Construction began in
1990, and the system went into operation in April 1995. In view of growing passenger
travel demand, the low efficiency of other current transportation modes and pressing
environmental requirements, a detailed plan was developed in 2001 that became the
basis of a significant expansion of the system. The plan was designed by involving
city government and the Urban Research and Planning Institute.

The plan’s implementation was supported by the following:

 A well-designed MRTS construction plan was modified several times to keep

pace with developing trends in the economy, society and the environment in
Shanghai;
 Financial innovation to fund MRTS development. A multi-entity investment
system was set up, which included government investments, local bonds,
loans from domestic banks and foreign governments or international financial
organizations; and
 The MRTS plan was integrated with development policies along the subway
lines.

Some impacts identified include reduced traffic jams in the downtown area, reduced
travel time, reduced oil consumption from the operation, reduced air pollution,
economic development along MRTS path and a reduced cost of congestion in the
downtown area, thereby helping the central downtown core city to function fully as
the service center of production. One lesson learned from this experience was that
MRTS construction required thorough long-term planning due to its high construction
costs, meaning that innovative measures were required to finance the system.
Another lesson: a blueprint of development also needs to be prepared based on
detailed feasibility studies, which will allow for future regional economic and
environmental development.

Source: Based on Shengmin, Y (2002). Development of a rail-based mass rapid

transport system in Shianghai. Asia-Pacific Environmental Innovation Strategies,
Research on Innovative and Strategic Policy Options.

106
42 Bus rapid transit system in Jakarta, Indonesia

Jakarta is one of the first three cities to implement a Bus Rapid Transit (BRT) System
in Asia. The BRT system called TransJakarta is run by operating the bus system in
an exclusive lane along designated existing roads. This type of public transportation
was chosen due to its lower cost in comparison with other similar mass transit
systems, such as metro, subway and sky-train. Therefore, it could well be adopted by
developing countries having a limited budget. The system charges a flat fare (less
than 0.5US$ per trip), and its overall operational cost is subsidized by local
government.

The BRT in Jakarta is Asia’s most extensive BRT. It has been established since
January 2004 and is expected to be extended until it reaches a total of 15 corridors in
2010. The system’s overall performance has yet to be evaluated; however, early
evidence indicates that 14 per cent of BRT passengers shifted from using private
passenger cars. Some of the expected impacts include an improved quality of life of
Jakarta citizens, reduced air pollution, improved equity in public transportation
services and reduced traffic volume and congestion along the corridors.

Some supporting instruments are also being implemented. These included the
following:

 regulations providing fines and punishment for those who vandalize the
TransJakarta facilities;
 improving quality of the TransJakarta infrastructure;
 increasing number of buses and more bus capacity through the use of
articulated buses;
 provision of warning signage;
 increased number of compressed natural gas stations;
 improved facilities in the bus stations;
 improved feeder system, allowing TransJakarta to connect with railway
transport for the comfort and convenience of users;
 improved image and quality of service of the system: special buses provided
for women;
 reduced travel times for the system; and
 improved park and ride facilities.

Even though there is no hard evidence demonstrating the improvement of air quality
in Jakarta, the fact that a number of private car users have shifted to BRT and the
growing numbers of BRT riders may soon confirm that BRT is making a contribution
to the improvement of air quality.

Sources: Based on Institute for Transportation Development Policy (2005). Making

TransJakarta a World Class BRT system. Available online at
http://www.itdp.org/documents/TransJakarta%20Final%20Report%205.pdf

Hook, W and Ernst, J (2005). Power Point Presentation Bus Rapid Transit in Jakarta
and Some Lessons Learned. Available online at
http://www.worldbank.org/html/fpd/transport/learning/presentations/Urban%2520Tran
sport/hook_Jakarta%2520pres.%2520world%2520bank%2520mar%252005_revised.
ppt+BRT+TransJakarta&hl=en&ct=clnk&cd=10&gl=th

107
43. Bus rapid transit system in Bogotá, Colombia

TransMilenio is a Bus Rapid Transit (BRT) System that has been implemented in
Bogotá since 2000. The system was chosen due to its cost effectiveness in
comparison with a railway system. It is structured as a public-private partnership in
which design, planning, and investment in the infrastructure is carried out by public
institutions such as the Bogotá mayor’s office. Other organizations such as
FONDATT (the Fund for Education and Road Safety in the office of the Secretary of
Transit and Transportation), IDU (Urban Development Institute), IDCT (the District
Institute of Culture and Tourism) and Metrovivienda are also involved. The operations
of BRT TransMilenio are overseen by private entities, including trunk line operators,
feeder bus operators, fare collection concessionaires and control centre providers.

Development of the system will continue until 2016. Its infrastructure is being funded
by the national government, a loan from the World Bank, the Bogotá mayor’s office
and stakeholders from the transport sector. To cover operating costs, the system is
charging flat fares (less than 0.3US$ per trip), and its operation is funded entirely by
fare collection with no subsidies provided. It incorporates a sustainable private
participation scheme and, although the system is bus-based, its operation is similar
to that of a rail-based system.

Some supporting instruments being implemented include the following:

 a specialized infrastructure designed for trunk line services;

 use of advanced technology for ticketing and control;
 establishment of a new institution for system planning, development and
control called TransMilenio S.A.; and
 provision of integrated feeder buses called “alimentadores” on local streets.

it is reported that with TransMilenio there has been a 93 per cent reduction in
fatalities from traffic accidents; a 40 per cent reduction of some air pollutants; and a
32 per cent drop in travel time for users. It is estimated that TransMilenio will be one
of the world’s largest BRT systems, second only to that in Curitiba, Brazil, which
started up some 40 years ago.

Source: Based on Lee M-Y (2003). TransMilenio Bus Rapid Transit System of
Bogota, Colombia. Asia-Pacific Environmental Innovation Strategies. Research on
Innovative and Strategic Policy Options.

108
44. Tata’s Nano Car in India

Tata, India’s largest automaker, introduced its new energy-efficient vehicle, the
“Nano Car”, in 2008. It has rear-wheel drive, is composed of light weight all-aluminum
and has a two-cylinder petrol engine. According to Tata, the Nano Car’s overall
weight helps maximize performance per unit of energy consumed and delivers high
fuel efficiency.

The first model got around 20 kilometres per litre of gasoline and met stringent
European emission standards that have yet to be adopted in India. Its fuel efficiency
ensures that it has low carbon dioxide emissions.

Tata has been promoting the Nano by citing the following advantages:

 Fuel-efficient engine. The car has 623 cc, 33 PS, multi-point fuel injection
petrol engine. This was the first time a two-cylinder gasoline engine was used
in a car with a single balancer shaft. The lean design strategy helps to
minimize weight, which helps to maximize performance per unit of energy
consumed while delivering high fuel efficiency. Performance is controlled by a
specially designed electronic engine management system.
 It meets all safety requirements. The Nano Car’s safety performance exceeds
current regulatory requirements. With an all sheet-metal body, it has a strong
passenger compartment, with safety features such as crumple zones,
intrusion-resistant doors, seat belts, strong seats and anchorages and rear
tailgate glass bonded to the body. Tubeless tyres further enhance safety.
 Environment-friendly. The Nano Car’s tail pipe emission performance also
exceeds regulatory requirements. In terms of overall pollutants, it emits less
pollution than two-wheelers being manufactured in India today. The high fuel
efficiency also ensures that the car has low carbon dioxide emissions, thereby
providing the twin benefits of an affordable transportation solution with a low
carbon footprint.

But the main concern is that, at a projected retail price of US$2,500, this so-called
“people’s car” is likely to bring hundreds of thousands more new cars onto Indian
roads. Even though it meets the highest emission standards, the Nano’s use will
increase number of cars and will consequently cause a significant increase in total
carbon dioxide emissions.

Source: Based on Tata’s Nano Website, available online at

http://www.tatapeoplescar.com
Jalopnik website available online at http://jalopnik.com/343003/the-2500-tata-nano-
unveiled-in-india and Newsweek’s Environment feature, “How Green is a Mini?”
http://www.newsweek.com/id/91380/page/1

109
45. Hybrid technology cars to reduce emissions: some examples

Kenworth hybrid truck

The Kenworth Truck Company introduced a hybrid-electric truck in March 2007

called the Kenworth T270 Class 6. “During steady driving conditions above 30 mph,
the T270 hybrid operates like a standard diesel vehicle with all power coming from
the engine. Below 30 mph, it uses a combination of diesel and electricity. The system
automatically switches between the two modes of operation and is seamless to the
driver,” claims Kenworth’s Chief Engineer. Kenworth had only limited production of
medium-duty hybrid trucks for municipal fleets and utility companies in its first year,
but full-scale production followed. The goal for the T270 hybrid was to improve fuel
economy by 30 per cent in start-and-stop applications, such as those characteristic of
utility trucks and vehicles used for pick-ups and delivery. “The more stop-and-go in
the application, the better the truck’s performance,” said the chief engineer. By the
end of August 2009, the company had come out with another innovation: the
Kenworth T470, which is available with extra horsepower. The company says that
buyers of this model can now purchase the truck with the 9-litre Cummins ISL engine
with 365 horsepower and 1,250 pounds-feet of torque. Previously, the truck was
available with only the Cummins ISL with 345 horsepower and 1,150 pounds-feet of
torque. Fuel economy from the T470, the company notes, is better than that of the
T270.

Source: http://www.kenworth.com/6100_pre_mor.asp?file=2105

Honda Insight

The Honda Insight is a two-seater hybrid automobile manufactured in model years

2000-2006 and employing hybrid engine technology, optimized aerodynamics and a
lightweight aluminum structure to maximize fuel efficiency and minimize emissions.
Introduced in 1999, the Insight was first sold in the United States, achieving 70 miles
per U.S. gallon. Honda sold 2000 Insights in 2005. The company decided to
introduce a new small hybrid-specific car in 2009 – a hybrid version of a Honda Fit or
something similar and to discontinue production of the Insight. The company says
that its new innovation, the 2010 Honda Insight, will make the use of the most cost-
effective hybrid technology. This 40-mpg+compact car, selling for less than
US$20,000, has been designed to undercut its competitor, the Toyota Prius. The
company claims that the 2010 model has already passed independent world highway
fuel economy tests showing it obtained above 60 miles to the gallon. The new model
went on sale on April 22 – Earth Day, 2009.

Source: Based on http://www.hybridcars.com/compacts-sedans/honda-insight-

overview.html

Toyota Prius

The Toyota Prius is a hybrid electric mid-sized car developed and manufactured by
the Toyota Motor Corporation. The Prius first went on sale in Japan in 1997. It was
subsequently introduced worldwide in 2001. According to the United States
Environmental Protection Agency, the 2008 Prius was the most fuel-efficient car sold
in the U.S. The UK Department for Transport said the Prius was tied with the MINI
Cooper D as the third least CO2-emitting vehicle in the UK. The third-generation 2010
Toyota Prius, officially unveiled at the Detroit auto show in January 2009, went on
sale in April of the same year. The updated Prius is bigger and more powerful than its
predecessor. The company claims that despite its added power and size, the 2010

110
Toyota Prius is the only vehicle available at present that offers 50 miles per gallon in
combined city/highway driving. The manufacturer claims that Toyota achieved this
level of fuel efficiency by keeping the vehicle’s weight down, maintaining the best
aerodynamics of any production vehicle in the world and re-engineering the
powertrain to extend the range of all-electric gas-free driving.

Source: Based on http://www.hybridcars.com/compacts-sedans/toyota-prius-

overview.html

World's first hybrid train in Japan

In July 2007, a two-car hybrid train came into service in rural northern Japan, one of
the latest entrants in the battle against global warming. Following its runaway
success with hybrid cars, Japan focused on developing hybrid trains. The train’s
regular passenger runs was to begin on a short mountain route – the first time a
diesel-electric hybrid train has been put into commercial service. This hybrid system
is on course for expansion. In 2008, it was running on the East Japan Railway’s
Koumi Line, and it was further extended in 2009. These hybrid rail cars are effectively
designed to be beneficial to the environment because of their reduced fuel usage (as
much as 10 per cent less) and lower carbon emissions (approximately 60 per cent
less) when compared with existing resort train cars.

The batteries of the train are recharged when the train slows down. After the power is
switched off, the motors continue to turn for a time, and that energy — wasted in a
non-hybrid train — is used to recharge the batteries.

Several automakers have begun to produce hybrid vehicles because of their greater
economy of fuel use and lower emissions compared with conventional internal
combustion engine vehicles (ICEVs). These savings are primarily achieved by three
elements of a typical hybrid design:

 recapturing energy normally wasted during braking, etc.;

 having significant battery storage capacity to store and reuse recaptured
energy; and
 shutting down the gasoline or diesel engine during traffic stops, while coasting
or during idle periods.

One issue is the environmental safety of the electric batteries used in hybrid vehicles.
Most hybrid car batteries are one of two types: (i) nickel metal hydride or (ii) lithium
ion. Both are considered to be more environmentally friendly than lead-based
batteries which constitute the bulk of car batteries today.

Source: Based on International Herald Tribune website

http://www.iht.com/articles/ap/2007/07/29/asia/AS-FEA-GEN-Japan-Hybrid-Train.php
http://news.cnet.com/8301-13908_3-9896596-59.html
http://www.japanrail.com/index.php?page=JR-News-q1-09

All of the examples above suggest that the common advantages of using hybrid
vehicles include gas savings, and lower toxic emissions in comparison with
conventional gasoline-powered cars. In some countries, owners of these cars may
also enjoy a tax benefit when purchasing or using them.

111
46. Hybrid only parking in Suffolk, New York, USA

On 21 August 2008, Suffolk, the easternmost county in New York State and the New
York Metropolitan Area, announced preferential parking for hybrid vehicles only.
Preferential parking for hybrids has already been adopted by the City of Los Angeles
and Miami-Beach, Florida. In addition, many private businesses such as IKEA, Home
Depot and Office Depot have spots for fuel-efficient cars.

Suffolk was also seeking to incentivize energy-efficient transportation choices and

promote fuel conservation. Legislator Wayne Horsley (D-Babylon) announced
legislation to designate “hybrid-only” parking spaces at county office buildings and
county-owned and operated facilities. The proposal introduced by Horsley was
entitled “The Green Spaces Initiative”. The accompanying legislation directed the
Commissioner of Public Works to designate a minimum of five per cent of parking
spaces at all county facilities for the exclusive use of parking by the owner/operators
of hybrid vehicles.

Source: Based on
www.hybridcar.com/index.php?option=com_content&task=view&id=671&Itemid=60

112
47. Shift from two- to four-stroke motorcycles in Thailand

Bangkok, the capital of Thailand, has been undergoing rapid urbanization and
industrialization, especially since the 1960s. Like other fast-growing cities, Bangkok
has an ever-increasing vehicle fleet contributing to serious traffic congestion and
aggravating air pollution. As a result of the enforcement of several air pollution
standards in the period from 1993 to 2004, the use of cleaner four-stroke motorcycle
engines was encouraged and polluting two-stroke engines displaced.

Motorcycles are a popular, easy and inexpensive mode of transport for carrying
people and goods. At the same time, they have been major contributors to air
pollution in Bangkok. In the early 90s, motorcycles in Bangkok numbered about 1.3
million, were increasing at a rate of 10-15 per cent per annum and constituted almost
50 per cent of the total fleet of vehicles.

In Bangkok, motorcycles were considered to be the largest mobile source of

hydrocarbon (HC) emissions (at 70 per cent ), contributed 30 per cent of the carbon
monoxide (CO) and 14 per cent of the particulate matter less than 10 microns in
diametre (PM10) originating from mobile sources in 1997. The motorcycles are of two
categories based on whether the engine is two-stroke or four-stroke. Four-stroke
engines have several benefits over their two-stroke counterpart, such as the
following:

 Four stroke engines emit half as much HC and suspended particulate matter
(SPM) as do the two–stroke types; and
 Four-stroke has improved fuel economy, created less noise, has a
comparable price and established technology, although the two-stroke
motorcycles have lower engine weight, smaller size, higher output and
greater operating smoothness than four-stroke ones.

To encourage the use of four-stroke motorcycles in Thailand, particularly in Bangkok,

the city administration BMA (Bangkok Metropolitan Administration) adopted the
regulatory measures of emission standards accompanied by other tools, such as
institutional arrangements, stakeholders’ participation and awareness/capacity
building programmes that assist in reducing emissions. After adopting the first
emission standard for motorcycles in 1993, Thailand implemented a fifth new
standard in 2004. Following enforcement of the stricter new vehicle emission
regulations, in recent years there has been a sharp rise in four-stroke motorcycle
sales in the country.

Because four-stroke engines are more fuel-efficient than two-stroke ones, the shift
from two- to four-stroke engine motorcycles will reduce the rate of major urban air
pollutants, and could be beneficial as well for other cities striving hard for a higher
growth rate with fewer adverse effects on the environment.

It is clear that motorcycle emission standards play an important role in reducing

vehicular pollution. Through the enforcement of these standards, the use of cleaner
four-stroke engines can be encouraged and polluting two-stroke engines can be
displaced. Regulatory measures accompanied by other tools, such as institutional
arrangements, stakeholders’ participation and awareness/capacity building
programmes clearly assist in reducing emissions.

Source: Based on Pant, A P, S. Kumar and R. Shrestha (2004). Shift from two- to
four-stroke motorcycles in Bangkok. Asia-Pacific Environmental Innovation
Strategies. Research on Innovative and Strategic Policy Options.

113
48. Alternative fuel vehicles in Beijing, China

In 1998, the Beijing government recognized that its air pollution had resulted in
severe environmental degradation, and it implemented a project to introduce
alternative low-emission fuel vehicles. Because the emissions from transit buses and
taxis accounted for a large share in total vehicle emissions, the government decided
that the first alternative fuel vehicles (AFVs) developed should be buses and taxis.

In September 1999, the first CNG (compressed natural gas) transit bus appeared in
Beijing, marking the beginning of the project. By the end of 2001, the city had 1,630
NGVs (natural gas vehicles), the most of any city in the world. In addition, 3,000
buses were modified to become LPG (liquefied petroleum gas) buses (bi-fuel). By the
end of 2001, more than 30,000 taxis had been modified to become bi-fuel cars (using
taxi-LPG-gasoline). To achieve its targets, the authorities focused on the construction
of CNG and LPG stations, the development of single fuel (LPG) vehicles, mainly
taxis, and the development of new CNG buses.

Of all the liquid or gaseous fuels ready for commercial transportation use, CNG offers
the greatest reduction in emissions compared to gasoline, as illustrated by the results
of Beijing’s initiative below.

 Carbon dioxide emissions from CNG were approximately 19 per cent less,
while producing the same calorific value;
 Carbon monoxide using CNG was reduced by 65 to 90 per cent;
 CNG resulted in a reduction in non-methane hydrocarbons (NMHC) of up to
97 per cent;
 Particulates were virtually eliminated; and
 Ozone reactivity from NGVs was up to 80 to 90 per cent better than that from
gasoline emissions.

A study of NOx and CO concentration was carried out in 2001 for Beijing. Although
the total number of vehicles in the city had increased rapidly in the three years since
the programme began, the concentration of NOx and CO had not correspondingly
increased. In fact, their concentration dropped by 16.4 per cent and 21.2 per cent,
respectively, in three years.

For cities with a plentiful supply of natural gas, NGVs, when compared with gasoline
vehicles, are a good choice to reduce emissions of NOx, CO and PM. However, CH4
emissions from NGVs are higher when compared with that of conventional vehicles,
and CO2 emissions from NGVs are also greater than that of efficient diesel vehicles.
Other shortcomings of NGVs include high initial costs, heavy weight, short range and
safety problems. Bi-fuel vehicles may not be as environmentally efficient as
anticipated due to poor quality of LPG, low efficiency caused by two fuelling systems
and relatively high operational costs.

Source: Based on Songli, Z and Kejun, J (2003). Introduction of Alternative Fuel

Vehicles in Beijing. Asia-Pacific Environmental Innovation Strategies. Research on
Innovative and Strategic Policy Options.

114
49. Introduction of electric three-wheelers in Kathmandu Valley, Nepal

In the Kathmandu Valley, the domination of the streets by heavily polluting three-
wheelers was replaced by zero-emissions electric three-wheelers in 1999 after
unprecedented social pressure culminated in policy and technological debates.
Although public awareness and pressure from NGOs existed prior to the street
protests and blockades of 1999 (in which local artist groups, clubs and activists took
part), the government’s 1992 ban of the polluting but popular three-wheelers had
remained largely ineffective due to the absence of incentives for owners to abandon
their vehicles. In 1999, following the movement’s peak and significant media
coverage, incentives for owners were incorporated into the national budget in the
form of a 75 per cent customs holiday on the import of 12- to 14-seater public
transportation vehicles.

The Kathmandu Metropolitan’s earlier initiative in partnering with the US-based NGO,
the Global Resources Institute, resulted in a demonstration project, which convinced
the private sector, public and the government of the plausibility of creating a new
industry. The significance of foreign donors, namely, the Danish Agency for
Development Assistance (DANIDA) and the United States Agency for International
Development (USAID-US-AEP), which supported the initiative, cannot be
underestimated in countries where donors heavily influence national policy makers,
as in Nepal.

The government’s favourable policy extended to a 50 per cent discount from taxable
income for a period of seven years to industries involved with energy efficiency,
conservation and pollution abatement, Economic (and fuel-related) instruments
included the low tariff rates for battery charging, based on the net economic value
(NEV), and transport policies and fiscal benefits, including a waiver on annual vehicle
registration fees.

By 2002, heavy investment and the creation of the Electric Vehicle Association of
Nepal, led to over 600 EV wheelers being in operation on 16 routes, employing 70
women drivers. Meanwhile, the industry has made some effort to adapt to local
technology in order to replace expensive imported technology and thereby reducing
the costs of batteries.

This case demonstrates that it was essential to offer fair choices and alternatives to
stakeholders when phasing out the polluting diesel vehicles. Civil society can play a
constructive role in this regard. At the same time, it can create a forum where the
private sector and the public can share their concerns and provide a feedback
mechanism between the government and its citizens. When a new idea is advanced,
demonstration programmes provide considerable help in influencing public opinion.
In Kathmandu Valley, the demonstration programme was one of the major stimuli
creating entrepreneurial interest.

Source: Based on Dhakal, Sobhakar (2003). Introduction of electric three-wheelers in

Kathmandu, Nepal. Asia-Pacific Environmental Innovation Strategies. Research on
Innovative and Strategic Policy Options.

115
50. Environmentally sound transportation planning in Singapore, 1970 to date

Integration of transportation planning into land use planning is a precondition for

establishing a sustainable transportation system. Singapore has been doing this
since the 1970s. This integration of land use and transport planning in the city/state
was undertaken with consideration given to the environmental impact of
transportation. The effectiveness of Singapore's land transport policies was based on
two foundations: effective implementation and the workability of the policies
themselves.

The land transport policies of Singapore aimed to deliver an effective land transport
network that is integrated, efficient, cost-effective and has a sustainable plan to
optimize the use of transport resources and safeguard the well-being of the travelling
public. This involved developing and implementing policies to encourage commuters
to choose the most appropriate mode of transport

To achieve these objectives, the coordination and integration of pertinent actions,

such as: investment and maintenance of the road infrastructure; investment in, and
improvement of, public transport; traffic management schemes; implementing road
user charges; fiscal measures directed at car ownership; and comprehensive land
use planning were elements of the programme.

Along with these efforts, Singapore used the following strategies to create an
environmentally sustainable transportation system:

 Emission standards. Vehicle emission standards have been imposed since

1984 by adopting UN/ECE R15.03 standards for petrol vehicles. In 2006, the
EURO IV standards for diesel vehicles were adopted;
 Cleaner fuels. In 1998, leaded petrol was phased out in Singapore. The use
of ultra-low sulphur diesel was imposed in 2005;
 Legislation/enforcement. Smoke test and mandatory smoke inspection
programmes were applied;
 Education. Education of fleet owners and drivers about driving habits, proper
pay loads and proper and regular vehicle maintenance was frequently carried
out; and
 Government as enabler. Economic as well as command and control
instruments, such as a vehicle quota system, electronic road pricing, efficient
public transport comprising a seamless public transit system and promotion of
green cars were implemented.

Singaporeans are already enjoying benefits of these measures in terms of reduced

emissions of sulphur, ultra-low sulphur diesel, SO2 and PM 2.5 (Peng 2006), as well
as overall improvements in air quality (Wong 2009).

Sources: Based on Peng Y. P. ( 2006) Towards Environmentally Sustainable

Transport: Singapore, presented to the Second Regional Environmentally
Sustainable Transport (EST) Forum, Yogyakarta, Indonesia, 11-12 Dec. Available
on-line at http://www.uncrd.or.jp/env/2nd-regional-est-
forum/presentations/Singapore.pdf

Chin, Anthony (2000). Land use planning and transport integration: the experience of
Singapore. World Bank Transport Strategy Review, Yokohama, Japan. Available
online at
http://siteresources.worldbank.org/INTURBANTRANSPORT/Resources/chin.pdf

116
51. Integrated road transport system development, Beijing, China

Rapid growth of GDP and population in China has had a number of consequences.
One of these is a wide gap between transport demand and supply, which has led to
worsening traffic and commuting conditions in Beijing.

To respond to these problems, an integrated road transport system was developed

for the city. This was introduced to address the worsening traffic conditions and to
improve the commuting situation. Having an integrated system was a recognition that
concerted action was necessary, requiring coordination among a number of different
government agencies, to achieve results. The objectives were to improve urban
transport efficiency, promote socio-economic development, make land use
development more efficient, create a good transport environment and align parking
prices with transport management.

The system was developed by implementing the following three practices:

 Extension of the road infrastructure. The average road network density on

particular ring roads was improved to 2.62 km/km2 and 4.66 km/km2,
respectively, in 2000. Road infrastructure development proceeded by
organizing a highly efficient road network in several corridors, which included
throughway corridors, distributing backbone roads, sub-arterial roads and
spur tracks;
 Parking management. To improve parking management, parking fees were
increased and differentiated for different times of the day and by region;
 Intelligent transportation systems. Beijing first established 12 intelligent
transportation systems monitored by a transportation controlling centre. Also
established were a command and deployment system; a transportation
monitoring system; a signal controlling system; a transportation induction
system; a global positioning system (GPS) for traffic police vehicles; a “122”
call-the-police system for traffic accidents; and an automatic monitoring
system for traffic violations. Other developments included a traffic information
collection system, a computer system for traffic management, a digitalized
management system and an information management system.

These efforts have reduced traffic flow in central urban areas, reduced congestion
and improved traffic management efficiency. The increased parking fee has also
brought in additional revenue.

Source: Based on Qiang, L., Shengmin, Y., and Kejun J., (2003). Integrated road
transport system development in Beijing. Asia-Pacific Environmental Innovation
Strategies. Research on Innovative and Strategic Policy Options.

117
52. Pedestrian malls

Car-free zones or pedestrian zones are designated areas of a city where the use of
automobile is prohibited. In these zones, pedestrians can benefit from a pedestrian-
friendly environment, lined with retail shops. Malls constitute a promising strategy to
discourage the use of motorized trips and to use limited city space in a more efficient
manner, since a pedestrian uses 20 times less space than an automobile. Moreover,
pedestrians are able to communicate and interact with one another as they travel
(Wallar, n.d.). A pedestrian zone is basically a street lined with storefronts closed off
to most automobile traffic. Emergency vehicles have access at all times, and delivery
vehicles are restricted to either limited delivery hours or entrances on the back
streets.

Pedestrian malls are found in a number of large cities: Bonn, Cologne, Hamburg and
Munich (Germany), Copenhagen (Denmark), Norwich (UK), and Singapore, among
others. The significant advantages of developing the malls are that they preserve
central city functions, facilitate access for shoppers, reduce noise and air-pollution
and improve a city's appearance.

Source: Based on Wallar, Michele (n.d.). How to create a Pedestrian Mall. Culture
website, http://www.culturechange.org – retrieved on 28 August 2008.

118
53. Dar es Salam’s transition from small buses to a BRT system

Tanzania’s capital city, Dar es Salam, has been growing rapidly since its rapid
economic expansion in the mid-1990s. The need for increased mobility could no
longer be met by slow and ineffective bus service. As a result, private motorization
(made up of taxis, cars and motorcycles) increased which, in turn, increased traffic
congestion.

Meanwhile, the city experienced several changes in the administration of transport

service. Until 1970, the service was predominantly provided by a British firm (a
colonial legacy). In 1974, a public transit agency – Usafiri Dar es Salam (UDA) – was
created (in line with the country’s President, Julius Nyere’s socialist ideal). In 1983,
however, the state permitted privately owned buses to operate (as the pendulum
swung to the supremacy of a free market economy), known as Daladala (12–seater
small buses) – the number of which increased from 824 in 1992 to 7,000 in 2003,
accounting for about 65 per cent of the city’s bus fleet. The remaining 35 per cent
was comprised of 24-30 seater buses.

While Daladalas served a duel role in Dar es Salam’s transition from public to private
transport service, proliferation of their number increased traffic congestion, which, in
turn, made Daladalas slow and inefficient. The service became less attractive, and its
operators did not make any reinvestment to improve the service because of its low
profitability. Consequently, as is the case with many such bus services in developing
countries, Daladala service was based on “second-hand vehicles that were
overcrowded, unsafe, uncomfortable and fuel inefficient” Dulac and Ernest (2009,
p.14).

In these circumstances, and with the accompanying menace of increasing carbon

emissions from the transport sector, projected to increase by 50 per cent to nearly
1.5 million metric tonnes by 2010, Dar es Salam’s transport authorities decided to opt
for a BRT mode of transport. The United Nations Environment Programme (UNEP)
and the Institute for Transport Development Policy (ITDP) have been supporting the
city in pilot demonstrations with a 10 km BRT trunk line and an additional 100 km of
feeder lines to the BRT system. On completion, the system will have a daily
operating capacity of roughly 400,000 passengers and will provide quality bus
services using articulated buses, fully enclosed pre-paid boarding stations and
exclusive bus lanes. Once the entire system is completed, the resulting modal shift is
expected to reduce CO2 emissions by 430,000 metric tonnes in the first year and
more than one million metric tonnes by the fifth year of the system’s operation.

Lessons

 The decision to opt for BRT has been timely. With Daladals becoming
obsolete, the emergence of BRT was a logical replacement. In its absence,
citizens’ propensity to individually own private cars would increase; and

 The vanguard role of ODA through UNEP and ITDP has been pivotal in
providing technical assistance to develop the project and to explore funding
support for its implementation.

Source: Based on information provided in Dulac J. and Ernest K. (2009). Sustainable

Transport Project Demonstration: Bus Rapid Transit, Bus Regulation and Planning
and Non-motorised Transportation, a report prepared for UNEP’s Division of
Technology, Industry and Economics, Nairobi.

119
54. Cycling out of poverty: an Africa-wide initiative

Cycling Out of Poverty is an initiative that seeks to “make a world of difference in

Africa with a bicycle”. Since its initiation in 2006, it has incorporated partner
organizations in six African countries – Uganda, Kenya, Rwanda, Ghana, Togo and
Burkina Faso – and has launched 17 projects centered on using the bicycle as a
means of coming out of poverty. These projects include Cycle to School (Katakwi,
Uganda, 2008-2009), Bicycle Ambulances (Katakwi, Uganda, 2008-2009), Bicycle
Workshop (Kisumu, Kenya, 2009-2010), Cycle to School (Kisumu, Kenya, 2009) and
Curriculum Development for Bicycle Mechanics (Kenya, 2009).
These projects demonstrate the positive aspects of a “poverty-environment”’ nexus,
i.e., creating poverty-reduction projects in a way that can also improve the
environment and vice-versa. The initiative is based on observations that many poor
African underemployed men and women are compelled to walk long distances
everyday, often carrying a heavy load because they lack the means to use other
modes of transport and to buy a bicycle.
Cycling Out of Poverty and their partner organizations in Africa support small
entrepreneurs with:
_ bicycles purchased using micro-credits;
_ providing designs for modified bicycles, suitable for small businesses;
_ education for bicycle mechanics;
_ seed money to establish a business;
_ training of community groups for the implementation of bicycle micro-
finance projects in their groups (leadership skills, credit and savings, etc.);
_ training bicycle users about the technical aspects of the bicycle; and
_ training centre/workshops.

The organizational structure of Cycling Out of Poverty consists of a six-member

board. Based in the Netherlands, it has established an East Africa Office. The
principal activities of the organization include:

 fundraising and awareness raising, motivating companies, institutions and

donors;
 supporting and coaching partner organizations in Africa to develop projects
and focus on target groups and approaches;
 linking global partners for knowledge exchange, e.g., on bicycle designs;
focusing on small entrepreneurs – mainly women; and
 facilitating access to bicycles via micro-credits using local partner
organizations in Africa.

Lessons

 Although no source other than the organization’s own could be found to

evaluate this initiative, it is nonetheless the case that several theoretically
sound and practically feasible ideas have made it spread to several African
countries. These ideas include fostering positive aspects of the poverty-
environment nexus, micro-finance and utilization of underemployed
labour/entrepreneurs, particularly women; and

 Proof that even limited support from a developed country can bring tangible
changes to promote emissions-free transportation modes. In this instance,
this has been demonstrated by utilizing the informal sector, e.g., labour and
enterprises in African developing countries.

Source: Based on information provided in www.cyclingoutofpoverty.com

120
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